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Inventory Margin Analysis

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Abstract

Commonly used methods for determining inventory levels include the economic order quantity (EOQ) model, the service level method, and the newsvendor model, discussed in Chapter 2. Each of these methods has the following specific disadvantages:

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Notes

  1. 1.

    For the full derivation, see P. Mileff and K. Nehez, “An Extended Newsvendor Model for Customized Mass Production,” Advanced Modeling and Optimization, Volume 8, Number 2, 2006.

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© 2015 Ramnath Ganesan

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Ganesan, R. (2015). Inventory Margin Analysis. In: The Profitable Supply Chain. Apress, Berkeley, CA. https://doi.org/10.1007/978-1-4842-0526-6_11

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