Abstract

Abstract This paper addresses the selection of a reorder point under a management-specified, maximum expected duration of stockout during a replenishment lead time. The cases of normal and Poisson demand are considered. In both cases graphical aids are developed, allowing easy determination of the reorder point so as to achieve a desired service level. The entire probability distribution of the durations of stockouts is also developed in each case.

Full Text
Published version (Free)

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call