capacity consideration of the total demand and plants

capacity available at the plant is defined as the ratio of plants total capacity to total market demand. CAP is dependent upon on the market demand and capacity of the plant. Capacity is defined by keeping consideration of the total demand and plants available capacity and distributed equally every week. The value of CAP at various levels are 1.10,1.30,1.50. As we discussed above L represents the replenishment lead times i.e. the time required to fill the order between members of the supply chain. From the above table the lead time for level is 1 and level 2 is 4. The last factor DV explains the level of fluctuations in the market demand. As DV increases SC will become more inefficient.Along with these above independent factors, experimental design also considers two dependent factors which are used in evaluating the positive outcomes of CPFR and VMI. They are:• Total Cost of Supply Chain (TSC).• Retailer Customer Service Level (CSL).TSC is defined as the sum of the total inventory holding costs of the entire SC and backorder costs incurred by the retailer. Back order cost is defined as the cost incurred by the retail for not fulfilling the customer order and make the customer wait until the order is filled. In this article we use only the retailor backorder costs because the internal costs of the supply chain i.e. the total costs of the supply chain include backorder costs which do not actually occur. As we know that CSL is defined as the fraction of the customer demand satisfied by the retailor from the available inventory. CSL plays an important role in satisfying the customer demand, the higher the service level the more the demand is meet through inventory.4. Simulation Output Analysis.MANOVA analysis of the SPSS procedure is used to determine the out of the above mentioned experimental simulation of the various independent and dependent factors. MANOVA utilized correlation methodology to determine the correlation between the dependent factors and their responses i.e. the independent factors as we discussed above in section 3. The results are as follows in Table 2:From the above table MANOVA results show that at 95% confidence interval i.e. for a significance level of 5% the independent factor SCTYPE has a strong correlation with the two factors CSL, TSC which depicts that CPFR & VMI have major effect on the performance of the SC