Operations Research, Systems Engineering and Industrial Engineering Commons^™

Optimization Of Costs And Service Level By Choosing The Best Customer Order Decoupling Point, Michael Schmidt, Detlef Spee

11th IMHRC Proceedings (Milwaukee, Wisconsin. USA – 2010)

The customer order decoupling point (CODP) as the link in the supply chain between processes based on uncertain information, such as sales forecasts, and certain information in the form of customer orders is crucial for production efficiency, storage costs, and the quality of logistics. This paper focuses on developing an approach for identifying a CODP that provides the highest potential for achieving business objectives. Within the context of the above-mentioned topics, this paper focuses on the interrelations and the tradeoffs that have to be made when positioning the COPD. The goal of the paper is to present an effective and …