Abstract
This paper deals with 2-stage tandem-type fixed-term reordering system which can be a very fundamental model of multi-stage inventory system, and compares following three control methods : 1. The method controlling each stage independently. In this method, information of market demand is used in order to control only the nearest stage by the market. 2.The method of using information of market demand to control each stage. This method is of J.F. Magee's suggestion. 3. The method of mixing former two methods. Main results are that term-end inventory variance of Magee's method is less than that of independently controlled method, and there should be more advantages by mixing two methods.
