Switching DSM control of perishable inventory systems with multiple supply options and uncertain demand

In this paper, the concept of discrete sliding modes (DSMs) is applied to design an efficient control strategy for a class of perturbed processes with delay - goods flow control in supply chain. In the considered systems, the stock used to satisfy the unknown, time-varying demand placed at a goods distribution center is replenished with delay from a number of supply sources. The order quantity is fixed, leaving the time between the consecutive orders as a decision variable, which perfectly suits the switching nature of input signals obtained in DSM control systems. It is shown that under the proposed nonlinear policy the stock level does not exceed the assigned storage space. Moreover, it is also demonstrated that the stock is never entirely depleted, which guarantees full demand satisfaction and maximum service level.