Abstract
The literature of inventory contains many examples of order quantities chosen so as to achieve some fixed probability of stockout in the period following the order's arrival. This note shows, for independent normally distributed demands, n-period delivery lag, and lost sales, how the computation of such an order quantity can be reduced to cumulative operations on a standardized (n + 1)-dimensional normal distribution.
Sign-in/Register to access full text options 
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 callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
