Institute of Transportation, MOTC

       The logistics activities in supply chain are closely linked and indispensable. The proper procurement strategy and good inventory management can improve the efficiency of business operations and achieve the core goal of reducing costs and increasing profits. Among all kinds of products, goods with safety considerations such as hazardous materials and chemicals should be carefully and properly controlled, and the government has imposed strict regulations on public hazardous materials. The company must invest more manpower or cost in order to avoid violating the law and preventing accidents from happening. In 2019, the Ministry of the Interior revised the " Establishment Standard and Safety Control Regulation for Manufacturing, Storing, Processing Public Hazardous Substances and Flammable Pressurized Gases Places " to expand the control of public hazardous materials and adjust the storage capacity of public hazardous materials in own warehouses. The upper limit prompted the E chemical company to use a rented warehouse for meeting the company's storage needs. Therefore, this study will discuss the replenishment and inventory transshipment strategy of multiple public hazardous materials in multi-plant scenario with multiple self-owned warehouses. Corresponding mathematical models and algorithms will be established for the situation to assist in deciding the replenishment time, purchase quantity, and the quantity transferred from the rented warehouse to multiple own warehouses, creating feasible and legitimate solutions for the company to achieve the goal of reducing procurement and inventory costs. Relevant conclusions could hopefully be used as suggestions for the development of operational strategies by the company or related authorities.