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MODELING DEMAND DURING LEAD TIME *
Author(s) -
Bagchi Uttarayan,
Hayya Jack C.,
Ord J. Keith
Publication year - 1984
Publication title -
decision sciences
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.238
H-Index - 108
eISSN - 1540-5915
pISSN - 0011-7315
DOI - 10.1111/j.1540-5915.1984.tb01207.x
Subject(s) - lead time , lead (geology) , order (exchange) , distribution (mathematics) , intensity (physics) , computer science , on demand , final demand , operations research , economics , mathematics , operations management , microeconomics , production (economics) , physics , mathematical analysis , multimedia , finance , quantum mechanics , geomorphology , geology
This paper treats some of the important considerations in constructing an analytical model for the distribution of demand during lead time. It presents a formal model that can be developed along one of two lines. The first has order size and order intensity leading to a compound distribution of period demand, then period demand and lead time giving rise to a compound distribution of demand during lead time. The second has order intensity and lead time giving rise to a compound distribution of lead‐time order intensity, then lead‐time order intensity and order size leading to a compound distribution of demand during lead time. The paper also condenses the state of the art in a table and proposes some simple classification schemes that could help researchers extend that state of the art.