Abstract
The optimal order quantity is the one of the main logistics tasks that takes place in modern theory and practice. Variety of consumers with its own demand and irregularity of consumption during the year exponentially increase number and times of calculation of economic order quantity. These complicate the EOQ decisions. At the same time, variation of the costs throw this process complicate this tacks exponentially. Using regression model for describe order cost and holding cost per unit simply calculations and consider its variability character.
Highlights
Current global crisis has affected firms’ behaviour on markets, forcing them to search for rational ways planning their business
Change of vehicle’s carrying capacity, distance of transportation, cargo class and other factors lead to different delivery cost and, as a result, different cost per order that constantly affects EOQ
Put cost per order and holding cost as a function that depends on technological parameters of transport and storage participants
Summary
Current global crisis has affected firms’ behaviour on markets, forcing them to search for rational ways planning their business. The system effect can be explored while examining the logistic chain interrelation on vehicle’s and storage parameters for optimal order quantity (EOQ) example. Change of vehicle’s carrying capacity, distance of transportation, cargo class and other factors lead to different delivery cost and, as a result, different cost per order that constantly affects EOQ. Holding cost per unit is variable due to different fixed costs of different number of units in stock per period. In outsourcing variant can be used different warehouse with its own cost per ton of maintaining and vice versa decrease of material flow (MF) increase holding costs. Technologies of logistics process have to put first in calculation of any supply variant [4]. Put cost per order and holding cost as a function that depends on technological parameters of transport and storage participants.
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