The paper considers two research issues that usually interact in practice, which are the ‘VMI with consignment’ inventory policy and the ‘Learning Curve’. Under a VMI with consignment agreement, the vendor is the one who manages the buyer's inventory, and he holds the property of the...

In this paper a new analytical approach to safety stock management, within single buyer–single vendor framework under VMI with consignment agreement, is presented. In particular, the cost of the safety stock is evaluated adopting a logistic approximation of the standard normal cumulative...