Accession Number : AD0701172
Title : COMPUTING EXPECTED VALUES OF CUSTOMER REQUESTS BACKORDERED.
Descriptive Note : Technical rept.,
Corporate Author : ARMY LOGISTICS MANAGEMENT CENTER FORT LEE VA
Personal Author(s) : Kaplan,Alan J.
Report Date : FEB 1970
Pagination or Media Count : 11
Abstract : The document considers the stockout cost for an inventory manager as a function of the number of customer requests backordered, each request possibly being for several units of stock. The problem arises of computing the expected stockout cost in terms of requests, when techniques are available for computing it in units. A simple conversion factor is desirable. Based on a formal analysis, the conversion factor 1/E(X) is recommended where E(X) is average size of a customer request. (Author)
Descriptors : (*ARMY PROCUREMENT, MATHEMATICAL PREDICTION), (*INVENTORY CONTROL, MANAGEMENT PLANNING AND CONTROL), STATISTICAL PROCESSES, PROBLEM SOLVING, COSTS, PROBABILITY, FACTOR ANALYSIS, TIME, DATA PROCESSING
Subject Categories : Logistics, Military Facilities and Supplies
Distribution Statement : APPROVED FOR PUBLIC RELEASE