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Estimating service level impacts from changes in cycle count, buffer stock, or corrective action
Author(s) -
Morey Richard C.
Publication year - 1985
Publication title -
journal of operations management
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 3.649
H-Index - 191
eISSN - 1873-1317
pISSN - 0272-6963
DOI - 10.1016/0272-6963(85)90022-1
Subject(s) - stockout , computer science , remedial action , stock (firearms) , operations management , action (physics) , operations research , economics , mathematics , mechanical engineering , ecology , physics , quantum mechanics , contamination , engineering , biology , environmental remediation
Inventory managers, tasked with providing adequate levels of material support, need to be able to gain insights, in a computationally easy manner, to the magnitude of improvements in protection levels against stockouts that can be gleaned from the three mechanisms available to them—more buffer stock, more physical inventories, or more corrective action to eliminate or reduce the causes for the errors arising in the first place. Armed with quantitative conservative estimates of the types of improvements available from any of these three mechanisms or combinations of the mechanisms, and the relative cost of each, the manager is is a better position to select a cost‐effective, remedial course of action.