Advanced Available-To-Promise for Order Management in Stock-out Situation

Uche Okongwu
Toulouse Business School, France

Matthieu Lauras
University of Toulouse, France

Vérane Humez
University of Toulouse, France

Lionel DuPont
University of Toulouse, France

Many authors have highlighted the gap between the supply side and the demand side of the order fulfilment process. Generally, the latter tends primarily to be “agile” by maximising responsiveness and flexibility while the former tends to be “lean” by maximising efficiency. However, the most fundamental trade-offs in supply chain management are between these two properties. This is the “leagile” objective. In stock-out situation, the delivery options that would minimize the customers’ dissatisfaction while reconciling the conflicting objectives of the different actors of the supply network must be defined. Today, no particular method seems to allow managing bulk within this leagile ambition. This paper proposes a non-sequential Advanced Available-to-promise model to tackle this question. The model is applied to a numerical example and the results obtained are used to illustrate the most representative delivery strategies.

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This paper has been downloaded 1380 times since published. The persistent DOI of this paper is DOI:10.31387/oscm020011.