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InventoryManagement
IntroductiontoManagementScience Anderson,Sweeney,Williams

Inventory:Assumptionofconstantdemand

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Constantdemandrate

BasicEOQInventorymodel

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EOQModel holdingcost,ordercostandtotalcost

EOQModel

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Optimalityofthetotalcost(minima)

EOQAssumptions

NextProductionOrderModel:Assumptionofconstantproductionrate/supplyrate

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Assumptionofconstantproduction/supplyrate

Qmax

T where p= production rate> d= demand rate

Q = production Lot = p *t,

POQmodel

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POQmodel

POQ Model

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InventorywithBackorders

InventoryEOQwithBackorders

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EOQwithbackorder

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QuantitydiscountmodelsforEOQ

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Totalcostcurvesforthethreediscountcategories

ProbabilisticdemandInventorymodels

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Single period inventory model with probabilistic demand

Single period inventory model with probabilistic demand

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Single period inventory model with probabilistic demand

Size f h Si of the order i fi d as Q whereas the time between orders d is fixed h h i b d varies and order for quantity Q is placed when ROP or a specific inventory level is touched

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Probabilistic inventory : ROP model with fixed quantity Q

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PeriodicReviewModelwithProbabilisticdemand

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