A periodic inventory control system with adaptive reference stock level for long supply delay

Modern inventory control is anchored in vastly advanced and complex models, which require considerable computational efforts. In this paper, we use a mathematical model of an inventory system with large supply delay and control system in order to optimize goods flow in inventory systems. The paper proposes the use of automatic control systems to control the system for supplementary orders. A discrete-time, dynamic model of the warehouse system is assumed for the analysis. For the given model, two automatic control systems: adaptive and classical non-adaptive periodic inventory systems , are analyzed. The non-adaptive control system is well known in the literature and the second one is its extension. The parameters of the control system are tuned by minimizing the cost function using a genetic algorithm for the assumed scenario for the market demand. Results of numerical simulations of the dynamical system and selected results in the objective space are presented in the paper.