Study On Inventory Optimization Of Automotive Service Parts

Auto industry is the most typical supply chain. The domestic one develops fast these years and the consumption amount of automobiles is larger and larger. So the after sale market is promising. After sale service is effective to win competence, improve customers'loyalty and gain profits. So does service parts logistics. Spare parts'position is crucial in service supply chain management. Especially, the inventory cost of spare parts which influences service and total cost, and at the same time the response speed and service guarantee are also restricted. The inventory cost of spare parts is important for corporate management.Service parts are always over-stocked or out of stock due to the unstable demand and large stock keeping units at variable cost. The solution is aligning supply chain strategy with service criticality, and then selecting the right logistics model. Spare parts inventory control is based on the company's developmental strategy. According to the standard service goal, a necessary inventory level must be met to achieve the lowest logistic cost.Based on theory of inventory control in supply chain, and aiming at problems in inventory management of spare parts of FAW Sell Car Co., Ltd., such as inventory capital of spare parts is exorbitant, velocity is low, using rate of storehouses is excessive, and useless inventory is overmuch, a suited method is put forward, that is multi-echelon inventory jointly management based on concerted centre. This method is based on multi-echelon inventory control, and gathered the predominance of inventory control methods in supply chain. It contains redefining role and function of headquarters, regional depots and service stations in inventory control of spare parts, confirming new responding fashion for requirement, establishing new operation flow, redefining parameters of spare parts inventory, constituting rational harmony, inspiriting, examination mechanism between headquarters, regional depots and service stations to instead of traditional self-governed system. In the method, concerted centre is established to change vertical logistics pattern of spare parts, cooperation between every node is strengthened, uncertainty of requirement is reduced, and preponderance of centralizing management for spare parts is exerted, inventory capital is reduced.Finally, inventory control model of spare parts is established, and the optimized object is confirming the safety inventory, order point, ordering quantity to guarantee minimum total inventory expense, based on limited resource, capacity and scheduled service level. Two objective functions are established in the model, one is total ordering charge, and the other one is cannibalizing charge. Genetic algorithm is applied to calculate parameters of the inventory model. Finally, validity of the model and the algorithm is proved by using an example.In this thesis, the idea of supply chain management and inventory management were combined to study the inventory based on supply chain, which is an extension of traditional inventory management and optimization. This method is not only applied to management of service parts, but also to other enterprises and so on, which has a great practical significance.