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Supplier managed inventory in the OEM supply chain: the impact of relationship types on total costs and cost distribution

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Supply Chain Planning

Abstract

We investigate the impact of four variants of supplier managed inventory on total costs and cost distribution in a capital goods supply chain consisting of a parts supplier who delivers parts to an original equipment manufacturer’s assembly plant. The four supplier managed inventory variants differ in the components of inventory costs that the supplier has to carry. The performance of the supplier managed inventory relationships is benchmarked with the situation where the assembly plant manages the inventories. Interesting managerial insights follow from this comparison.

Originally published in:

OR Spectrum (2009) 31:167–194

DOI 10.1007/s00291-007-0105-4

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Author information

Authors and Affiliations

  1. OM Partners, Koralenhoeve 23, 2160, Wommelgem, Belgium

    P. L. M. Van Nyen

  2. Technische Universiteit Eindhoven, Faculty of Technology Management, Den Dolech 2, P.O. Box 513, 5600, Paviljoen F08, MB Eindhoven, The Netherlands

    J. W. M. Bertr

  3. Technische Universiteit Eindhoven, Faculty of Technology Management, Den Dolech 2, P.O. Box 513, 5600, Paviljoen F01, MB Eindhoven, The Netherlands

    H. P. G. Van Ooijen

  4. Katholieke Universiteit Leuven, E. Sabbelaan 53, 8500, Campus Kortrijk, Kortrijk, Belgium

    N. J. Vandaele

Authors
  1. P. L. M. Van Nyen
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  2. J. W. M. Bertr
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  3. H. P. G. Van Ooijen
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  4. N. J. Vandaele
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Corresponding author

Correspondence to P. L. M. Van Nyen .

Editor information

Editors and Affiliations

  1. FG Produktion & Supply Chain Management, TU Darmstadt, Hochschulstr. 1, Darmstadt, 64289, Germany

    Herbert Meyr

  2. BWL - Produktionsmanagement, TU Berlin, Wilmersdorfer Str. 148, Berlin, 10585, Germany

    Hans-Otto Günther

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Van Nyen, P., Bertr, J., Van Ooijen, H., Vandaele, N.J. (2009). Supplier managed inventory in the OEM supply chain: the impact of relationship types on total costs and cost distribution. In: Meyr, H., Günther, HO. (eds) Supply Chain Planning. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-540-93775-3_9

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