An Approach to Twoechelon Inventory Control of Aircraft LRU for Airline

Abstract

Abstract:

Airlines meet maintenance requirement of line replacement unit (LRU) with twoechelon supply pattern by base warehouse and central warehouse and set high fill rate to support airplane operation. Under this situation, it raises a problem as to how to decide LRU stock level in different base and central warehouses. Firstly, the requirement rate of LRU is calculated by Maximum Likelihood method using its failure data. Secondly, a twoechelon inventory control model is established to optimize total inventory costs under the constraint of joint fill rate. At last, a marginal analysis algorithm is designed to solve this model. An example is given to show that this approach is effective and reduces inventory cost.

Key words: line replacement unit, fill rate, Maximum Likelihood , twoechelon inventory control, marginal analysis algorithm

FU Weifang1, BIAN Jiao2. An Approach to Twoechelon Inventory Control of Aircraft LRU for Airline[J]. Industrial Engineering Journal .

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