Optimal Self Inspection Policies of Self-service Retailers  
Author Kodo Ito

 
Co-Author(s) Yoshiyuki Higuchi; Masao Ohta; Xiaoyuan Liu

 
Abstract The annual sales share of supermarkets and convenience stores has expanded around 2000 in Japan. Both supermarkets and convenience stores are self-service stores and they can reduce labor costs by engaging consumers the provision of services. Miscellaneous jobs such as cash registering, goods arranging, and shelf reviewing, have to be performed by limited number of clerks and efficient operation methods are required. The inventory management of store shelves for avoiding out-of-stock is an important issue and AHM-Model which is a famous periodic monitoring inventory one utilizing dynamic programming, was proposed. In this paper, store shelves are monitored periodically and are replenished when total amount of goods is below a threshold. Total expected cost rates are defined and optimal thresholds are discussed utilizing the cumulative damage model.

 
Keywords Supermarket, shelf inventory, replenishment, optimal policy, damage model
   
    Article #:  23-181
 
Proceedings of the 23rd ISSAT International Conference on Reliability and Quality in Design
August 3-5, 2017 - Chicago, Illinois, U.S.A.