Consider an item with the following demand pattern: Period j 1 2 3 4 5 D(j) (units)
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Consider an item with the following demand pattern:
Period j 1 2 3 4 5 D(j) (units) 50 80 65 100 30 The initial inventory at the start of period 1 is 0 and a replenishment, to cover an integer number (T) of period, must be placed. Suppose that the use of the Silver–Meal heuristic leads to the choice of T = 2. What can you say about the value of the ratio A/vr where r is on a per-period basis? Hint: Use the normalized total relevant costs per unit time by dividing through by vr.
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Related Book For
Inventory And Production Management In Supply Chains
ISBN: 9781032179322
4th Edition
Authors: Edward A Silver, David F Pyke, Douglas J Thomas
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