@conference{Ratanachote2009, author = {P. Ratanachote and S.M. Disney}, title = {Distribution network dynamics with correlated demands}, booktitle = {16th EurOMA Annual Conference}, year = {2009}, pages = {10 pages}, address = {G\"oteburg, Sweden}, month = {June 14th–17th}, url = {https://www.researchgate.net/publication/340438028_Distribution_network_dynamics_with_correlated_demands}, abstract = {We compare centralised and decentralised distribution network designs for a two-level supply chain. The demand pattern faced by the retailers is modelled as a first-order Vector Auto-Regressive process, which is used to represent the progression of and relationship in sets of time series. All participants, i.e. retailers and distribution centres, operate an Order-Up-To policy with the MMSE forecasting. Inventory and capacity costs are considered. The result shows that the demand correlation has a significant impact on decision about consolidation of the distribution system.} }