Production, Supply, and Traffic Systems: A Unified Description

D. Helbing ()
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D. Helbing: Dresden University of Technology, Institute for Economics and Traffic

A chapter in Traffic and Granular Flow ’03, 2005, pp 173-188 from Springer

Abstract: Summary The transport of products between different suppliers or production units can be described similarly to driven many-particle and traffic systems. We introduce equations for the flow of goods in supply networks and the adaptation of production speeds. Moreover, we present two examples: The case of linear (sequential) supply chains and the case of re-entrant production. In particular, we discuss the stability conditions, dynamic solutions, and resonance phenomena causing the frequently observed “bullwhip effect”, which is an analogue of stop-and-go traffic. Finally, we show how to treat discrete units and cycle times, which can be applied to the description of vehicle queues and travel times in freeway networks.

Keywords: stop-and-go traffic; supply network; production system; bullwhip effect; resonance; convective instability; re-entrant production; cycle time; travel time; queueing network (search for similar items in EconPapers)
Date: 2005
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Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-3-540-28091-0_14

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DOI: 10.1007/3-540-28091-X_14

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