Open AccessA New Economic Order Quantity Model
Author(s) -
Qing Huang,
Peng Wu
Publication year - 2020
Publication title -
journal of physics. conference series
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.21
H-Index - 85
eISSN - 1742-6596
pISSN - 1742-6588
DOI - 10.1088/1742-6596/1670/1/012047
Subject(s) - order (exchange) , economic order quantity , inventory cost , computer science , operations research , economic model , business , industrial organization , operations management , microeconomics , economics , mathematics , marketing , supply chain , finance
Every enterprise will be faced with the problem of whether the products and parts are made by itself or purchased from outside, and how many goods should be ordered. This paper proposes an Economic Order Quantity model, which can solve this problem by balancing the purchase cost and inventory cost.