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File: 246709549.xls.ms_office
Page 1 of 41
Simulating Inventory Control with Orders that Cross during Lead Time
sS.xls Version 1.5 03/18/2010
John.O.McClain@cornell.edu
Johnson Graduate School of Management
Cornell University
Ithaca NY 14853
This workbook is intended for teaching or research. You are welcome to use it in any manner,
and change it as you see fit. It comes without any guarantee whatsoever, and is distributed
free of charge. Changes are frequent, so check back frequently for a new version.
Most inventory control systems use a formula for lead-time demand to set safety stock levels.
Research has uncovered situations where that method leads to large and expensive errors.*
In particular, if replenishment orders might not arrive in the same order in which they are placed, then
the above method will leave you with too much inventory if your objective is a high level of protection,
and too little inventory if you are aiming to run out of stock frequently. That is, the variance of the
inventory level is smaller than the variance of lead-time demand.
*See Robinson, L.R, J.R. Bradley and L.J. Thomas, "Consequences of Order Crossover under
Order-up-to Inventory Policies." M&SOM Manufacturing and Service Operations Management ,
Volume 3, No. 3 (2001), pp.175-188.
This workbook contains a macro, written in Visual Basic, that allows you to simulate the inventory control
system known variously as the Min-Max system, the (s,S) system, or the reorder-level, order-up-to system.
Two versions are available in the simulation:
> Periodic review: orders may be placed only at specific points of time, such as daily or weekly.
> Continuous review: orders are placed instantly, as soon as inventory reaches the reorder level.
In both cases, the state of the system is tracked at all times, so that accurate costs may be calculated.
The word "order" refers to an action taken to replenish the supply of an item that is stocked in inventory
and sold to customers. The word "demand" refers to a customer wanting to buy one unit of the item.
A "backorder" is an unsatisfied demand for which the customer will take delivery at a later time.
The simulation assumes that all customers are willing to wait if their demand is backordered.
The simulation allows orders to cross. It assumes that the lead time of one order is independent of
that for any other order, and therefore crossing occurs whenever the lead time for an order is longer
than the interval between orders plus the lead time for the next order.
Please note that the independence assumption is not true in some real circumstances. For example,
if both orders are shipped by rail, and if one freight car cannot pass another, the orders cannot cross.
However, in that case lead times are also not independent, but rather are positively correlated, so
models that assume independence (i.e. most inventory models) are also incorrect.
Sheet: Introduction
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Sheet: Introduction
L
D
mL, VarL
mD, VarD
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Sheet: Introduction
File: 246709549.xls.ms_office
Page 4 of 41
the same is true for Demands, and that Lead Times are independent of Demands. They are, in fact, the
well-known formulas for the mean and variance of lead-time demand.
12) E[Shortfall@Deliv ] = mD mL and
2
13) Var[Shortfall@Deliv ] = mL VarD + mD VarL for continuous review if orders do not cross.
Sheet: Introduction
File: 246709549.xls.ms_office
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Sheet: Introduction
File: 246709549.xls.ms_office
Page 6 of 41
4. Optimization
The value of Q (the gap between s and S ) is held constant during a simulation. (In fact, it operates as
if the order-up-to level were S =0 with reorder level s = -Q .) However, the output may be used
to represent any (s,S ) system that has S-s=Q . You can find the optimal value of s among all
systems that have the same Q as the one in your simulation, and then set S=s+Q .
On the Graphs sheet, an Excel Table calculates costs for a range of values of s . A graph shows the
results. You may input the first value of s and the interval between points. To home in on the
optimum, adjust the first value until the graph is U-shaped, and then lower the interval to 1.
However, the result is only optimal for the value of Q that you simulated. To find an overall
optimum, you must repeat the simulation for a series of values of Q , and use the table to find the
best reorder level for each Q . Record those values and select the one with lowest cost.
Sheet: Simulate
File 246709549.xls.ms_office
Page 7 of 41
Simulation of a Min-Max (s,S) Inventory System in Continuous Time: Discrete or Continuous Review
Continuous Review. Q=30, D=10, varD=10
Gamma InterDemandTime: Mu= 0.1, Std=0.1. Discrete LT: Mu= 3, Std=1.41
Change the design by entering numbers in the yellow boxes, and by checking or unchecking the selection boxes.
Current Simulation Design:
Type of Review
Periodic Review?
FALSE
Continuous Review
Order Quantity
Q = S-s
30
Run Controls
Runin Periods
5,000
Run Periods
50,000
RNSeed
5235
Simulate
Delete Old Data
TRUE
Gamma IDT
mean
0.1
StDev
0.100
Discrete IDT (not in use)
IDT
f(IDT)
0
0.5
0.033333333
0.066666667
0.1
0.133333333
0.166666667
0.2
0.5
mean
0.1
StDev
0.1
FALSE
Theoretical Values
LTD
LTDem
LT
Inter-Demand Time
Demand/period
Mean
30.00
30.00
3.00
0.1
10.00
Conversion Formulas:
Mean
10
Demand per Period:
0.1
Inter-demand Time:
Inter-Demand Time
Demand/period
0.1
10
Var StDev
230.00 15.166
230.00 15.166
2.00 1.414
0.01 0.100
10.00 3.162
Var
10
0.01
StDev
3.1623
0.100
0.01
10
0.1
3.162
Sheet: Graphs
File: 246709549.xls.ms_office
Page 8 of 41
Links
2
2
30
LTDem
55
85
0.971
0.997
0.956
0.956
0.95
Cost
Search for Minimum Cost Reorder Level (s) holding constant S-s=30
Make sure "Calculation" is set to "Automatic". If it is
not, then press F9 to recalculate the cost curve
whenever you change anything.
52
50
48
46
44
20
40
Reorder Level, s
60
35
1
Sheet: Graphs
File: 246709549.xls.ms_office
Page 9 of 41
LTDem
Shortfall @Deliv.
0.03
LTDem
0.025
Shortfall
0.02
0.015
0.01
0.005
0
0
10
20
30
40
50
60
70
80
0.01 0.055
0.1
LTDem
Shortfall @Deliv.
Shortfall
Cumulative Distributions
0 10 20 30 40 50 60 70 80 90 100 110 120 130 140 150 160 170
Sheet: Graphs
File: 246709549.xls.ms_office
Page 10 of 41
Outputs:
SimTime
Demands
Orders
Deliveries
Crossings
Cross/Deliv
50,000
499,094
16,637
16,636
1,392
0.083674
Sheet: Trace
File: 246709549.xls.ms_office
Theory
5020
5015
5010
5005
5000
5035
Shortfall
Leadtime Leadtime
Shortfall @ Delivery Demand
Demand
Mean
41.83
56.87
26.87
30.00
Variance
254.65
183.41
221.98
230.00
5030
442
15
14
1
30
10
10
5235
Continuous
Review.
Q=30: D=10, var=10: L= 3, Std=1.41
FALSE Continuous Review. Q=30: D=10,
var=10:
L= 3, Std=1.41
FALSE
TRUE
0
0.1
-10
-20
0.1
-30
3
-40
1.41421
-50
4995
Continuous time!
Q = S-s
Exp. Demand
Var. Dmd (approx)
RNSeed
Periodic Review?
Gamma LT?
Gamma IDT?
Exp. IDT
StDev IDT
Exp. LT
StDev LT
5025
Page 11 of 41
-60
-70
-80
Period
5000
5000.173046
5000.205754
5000.310213
5000.382774
5000.467588
5000.623709
5000.908757
5001.043778
5001.11675
5001.309805
5001.342144
5001.393685
5001.549392
5001.549392
5001.62275
5001.763145
5001.844754
5002.349471
5002.437536
5002.549392
5002.598439
5002.611633
5002.669455
5002.676757
5002.690741
5002.693341
5002.729228
5002.731997
5002.941784
5002.961997
5003.179469
5003.222885
5003.468923
5003.502495
5003.523262
5003.73177
5003.769321
5003.826027
5004.162968
5004.17674
5004.181105
5004.183976
5004.191863
5004.236135
5004.496639
5004.496639
5004.744864
5004.901383
5005.085572
5005.234753
5005.471668
5005.488336
5005.496639
5005.507679
5005.648534
5005.679202
5005.735994
5005.811116
5005.857882
5005.958634
Dmd
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
Arriving
Inventory
Order
Orders On-Hand On-Order Position Quantity
-48
30
-18
-49
30
-19
-50
30
-20
-51
30
-21
30
-21
0
-21
-22
0
-22
-23
0
-23
-24
0
-24
-25
0
-25
-26
0
-26
-27
0
-27
-28
0
-28
-29
0
-29
-30
0
-30
-30
30
0
30
-31
30
-1
-32
30
-2
-33
30
-3
-34
30
-4
-35
30
-5
30
-5
0
-5
-6
0
-6
-7
0
-7
-8
0
-8
-9
0
-9
-10
0
-10
-11
0
-11
-12
0
-12
-13
0
-13
-14
0
-14
-15
0
-15
-16
0
-16
-17
0
-17
-18
0
-18
-19
0
-19
-20
0
-20
-21
0
-21
-22
0
-22
-23
0
-23
-24
0
-24
-25
0
-25
-26
0
-26
-27
0
-27
-28
0
-28
-29
0
-29
-30
0
-30
-30
30
0
30
-31
30
-1
-32
30
-2
-33
30
-3
-34
30
-4
-35
30
-5
-36
30
-6
30
-6
0
-6
-7
0
-7
-8
0
-8
-9
0
-9
-10
0
-10
-11
0
-11
-12
0
-12
-13
0
-13
Lead
Time
Delivery
Period
-21
-51
1 5002.5494
-5
5003
5005
-35
1 5005.4966
-6
-36
Sheet: Trace
Period
5006.185391
5006.294004
5006.398898
5006.400871
5006.444422
5006.568489
5006.637815
5006.769622
5006.881362
5006.979882
5007.027178
5007.092416
5007.172431
5007.391184
5007.408501
5007.524233
5007.598126
5007.598126
5007.657855
5007.665675
5007.691803
5007.988156
5008.008356
5008.077129
5008.354601
5008.371281
5008.54965
5008.550189
5008.585484
5008.697039
5008.828862
5008.84935
5008.894675
5009.125983
5009.126611
5009.258672
5009.457427
5009.483553
5009.598126
5009.642632
5009.675938
5009.796912
5009.865261
5010.101792
5010.168576
5010.303152
5010.41784
5010.535388
5010.57704
5010.57704
5010.738756
5010.761057
5010.904805
5011.192288
5011.257925
5011.340638
5011.395519
5011.743065
5011.845079
5011.945671
5012.116681
5012.138242
5012.485316
5012.70029
5012.794175
5012.856272
5012.925432
5013.001783
5013.022007
5013.075306
5013.285833
5013.595849
5013.664477
5014.168396
5014.3426
5014.378521
5014.394282
5014.419987
5014.598754
5014.650928
5014.650928
File: 246709549.xls.ms_office
Dmd
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
Arriving
Inventory
Order
Orders On-Hand On-Order Position Quantity
-14
0
-14
-15
0
-15
-16
0
-16
-17
0
-17
-18
0
-18
-19
0
-19
-20
0
-20
-21
0
-21
-22
0
-22
-23
0
-23
-24
0
-24
-25
0
-25
-26
0
-26
-27
0
-27
-28
0
-28
-29
0
-29
-30
0
-30
-30
30
0
30
-31
30
-1
-32
30
-2
-33
30
-3
-34
30
-4
-35
30
-5
-36
30
-6
-37
30
-7
-38
30
-8
-39
30
-9
-40
30
-10
-41
30
-11
-42
30
-12
-43
30
-13
-44
30
-14
-45
30
-15
-46
30
-16
-47
30
-17
-48
30
-18
-49
30
-19
-50
30
-20
30
-20
0
-20
-21
0
-21
-22
0
-22
-23
0
-23
-24
0
-24
-25
0
-25
-26
0
-26
-27
0
-27
-28
0
-28
-29
0
-29
-30
0
-30
-30
30
0
30
-31
30
-1
-32
30
-2
-33
30
-3
-34
30
-4
-35
30
-5
-36
30
-6
-37
30
-7
-38
30
-8
-39
30
-9
-40
30
-10
-41
30
-11
-42
30
-12
-43
30
-13
-44
30
-14
-45
30
-15
-46
30
-16
-47
30
-17
-48
30
-18
-49
30
-19
-50
30
-20
-51
30
-21
-52
30
-22
-53
30
-23
-54
30
-24
-55
30
-25
-56
30
-26
-57
30
-27
-58
30
-28
-59
30
-29
-60
30
-30
-60
60
0
30
Lead
Time
Delivery
Period
Page 12 of 41
- Leadtime Inv. before orders Order Pipeline, Arrival Times
Demand Delivery crossed
1
2
3
4
5
2 5009.5981
5010
5015.577
5016
2 5016.6509
5016 5016.7
-20
-50
Sheet: Trace
Period
5014.770354
5014.783437
5015.034334
5015.065044
5015.127242
5015.314618
5015.433581
5015.474816
5015.507533
5015.57704
5015.585094
5015.643736
5015.84156
5015.94776
5016.121705
5016.215372
5016.297956
5016.32307
5016.368212
5016.440383
5016.515035
5016.59158
5016.597965
5016.650928
5016.739632
5016.742518
5016.82915
5016.902957
5017.0895
5017.184
5017.262315
5017.398921
5017.398921
5017.407893
5017.584132
5017.592956
5017.724044
5017.857725
5017.896266
5017.956079
5018.001187
5018.231636
5018.460737
5018.603558
5018.681515
5018.715656
5018.739164
5018.842714
5018.958991
5019.079769
5019.191921
5019.242912
5019.268767
5019.518807
5019.661261
5019.681984
5020.1023
5020.178911
5020.246428
5020.314307
5020.398921
5020.48442
5020.488499
5020.513344
5020.513344
5020.687838
5020.70282
5020.804579
5020.915913
5021.164149
5021.205309
5021.209908
5021.329855
5021.372338
5021.517346
5021.713743
5021.737031
5021.760438
5021.790284
5021.839872
5022.021183
File: 246709549.xls.ms_office
Dmd
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
Arriving
Inventory
Order
Orders On-Hand On-Order Position Quantity
-61
60
-1
-62
60
-2
-63
60
-3
-64
60
-4
-65
60
-5
-66
60
-6
-67
60
-7
-68
60
-8
-69
60
-9
30
-39
30
-9
-40
30
-10
-41
30
-11
-42
30
-12
-43
30
-13
-44
30
-14
-45
30
-15
-46
30
-16
-47
30
-17
-48
30
-18
-49
30
-19
-50
30
-20
-51
30
-21
-52
30
-22
30
-22
0
-22
-23
0
-23
-24
0
-24
-25
0
-25
-26
0
-26
-27
0
-27
-28
0
-28
-29
0
-29
-30
0
-30
-30
30
0
30
-31
30
-1
-32
30
-2
-33
30
-3
-34
30
-4
-35
30
-5
-36
30
-6
-37
30
-7
-38
30
-8
-39
30
-9
-40
30
-10
-41
30
-11
-42
30
-12
-43
30
-13
-44
30
-14
-45
30
-15
-46
30
-16
-47
30
-17
-48
30
-18
-49
30
-19
-50
30
-20
-51
30
-21
-52
30
-22
-53
30
-23
-54
30
-24
-55
30
-25
-56
30
-26
-57
30
-27
30
-27
0
-27
-28
0
-28
-29
0
-29
-30
0
-30
-30
30
0
30
-31
30
-1
-32
30
-2
-33
30
-3
-34
30
-4
-35
30
-5
-36
30
-6
-37
30
-7
-38
30
-8
-39
30
-9
-40
30
-10
-41
30
-11
-42
30
-12
-43
30
-13
-44
30
-14
-45
30
-15
-46
30
-16
Lead
Time
Delivery
Period
Page 13 of 41
- Leadtime Inv. before orders Order Pipeline, Arrival Times
Demand Delivery crossed
1
2
3
4
5
-39
-69
-22
-52
3 5020.3989
-27
3 5023.5133
5016
5020
5024
-57
Sheet: Trace
Period
5022.254165
5022.368792
5022.558656
5022.63081
5022.944227
5023.016635
5023.112848
5023.220841
5023.275128
5023.386915
5023.513344
5023.52923
5023.632372
5023.701703
5023.790374
5023.790374
5023.945869
5024.007807
5024.084874
5024.201414
5024.357531
5024.499417
5024.524385
5024.542984
5025.172501
5025.228033
5025.317178
5025.338606
5025.493862
5025.623628
5025.881797
5026.012697
5026.176865
5026.180452
5026.198067
5026.350103
5026.445077
5026.790374
5026.842714
5026.906976
5027.009626
5027.228326
5027.411797
5027.422136
5027.475767
5027.688143
5027.70727
5027.70727
5027.760315
5027.772632
5027.900233
5027.930596
5027.931462
5027.973992
5028.05085
5028.129417
5028.154958
5028.295583
5028.344078
5028.347114
5028.612496
5028.664946
5028.712273
5028.771048
5028.912755
5029.233837
5029.435017
5029.593682
5029.662773
5029.755202
5029.84277
5030.143891
5030.188847
5030.221076
5030.22418
5030.287107
5030.354508
5030.366136
5030.366136
5030.379011
5030.508819
File: 246709549.xls.ms_office
Dmd
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
Arriving
Inventory
Order
Orders On-Hand On-Order Position Quantity
-47
30
-17
-48
30
-18
-49
30
-19
-50
30
-20
-51
30
-21
-52
30
-22
-53
30
-23
-54
30
-24
-55
30
-25
-56
30
-26
30
-26
0
-26
-27
0
-27
-28
0
-28
-29
0
-29
-30
0
-30
-30
30
0
30
-31
30
-1
-32
30
-2
-33
30
-3
-34
30
-4
-35
30
-5
-36
30
-6
-37
30
-7
-38
30
-8
-39
30
-9
-40
30
-10
-41
30
-11
-42
30
-12
-43
30
-13
-44
30
-14
-45
30
-15
-46
30
-16
-47
30
-17
-48
30
-18
-49
30
-19
-50
30
-20
-51
30
-21
30
-21
0
-21
-22
0
-22
-23
0
-23
-24
0
-24
-25
0
-25
-26
0
-26
-27
0
-27
-28
0
-28
-29
0
-29
-30
0
-30
-30
30
0
30
-31
30
-1
-32
30
-2
-33
30
-3
-34
30
-4
-35
30
-5
-36
30
-6
-37
30
-7
-38
30
-8
-39
30
-9
-40
30
-10
-41
30
-11
-42
30
-12
-43
30
-13
-44
30
-14
-45
30
-15
-46
30
-16
-47
30
-17
-48
30
-18
-49
30
-19
-50
30
-20
-51
30
-21
-52
30
-22
-53
30
-23
-54
30
-24
-55
30
-25
-56
30
-26
-57
30
-27
-58
30
-28
-59
30
-29
-60
30
-30
-60
60
0
30
-61
60
-1
-62
60
-2
Lead
Time
Delivery
Period
Page 14 of 41
- Leadtime Inv. before orders Order Pipeline, Arrival Times
Demand Delivery crossed
1
2
3
4
5
-26
-56
3 5026.7904
5027
4 5031.7073
5032
4 5034.3661
5032 5034.4
-21
-51
Sheet: Trace
Period
5030.523726
5030.530885
5030.878612
5030.97832
5031.006654
5031.082726
5031.14497
5031.280931
5031.327971
5031.328157
5031.463481
5031.474148
5031.70727
5031.837424
5031.895509
5032.26247
5032.262992
5032.384426
5032.403908
5032.431359
5032.434821
5032.484306
5032.488831
5032.499536
5032.536676
5032.562803
5032.71013
5032.767342
5032.768958
5032.768958
5032.796112
5032.867628
5032.884919
5033.193461
5033.227385
5033.265257
5033.35362
5033.404252
5033.40712
5033.421594
5033.450962
5033.481796
5033.487996
5033.536005
5033.67025
5033.719806
5033.741958
5033.853085
5033.853492
5033.911984
5034.05012
5034.06658
5034.120716
5034.333459
5034.366136
5034.437008
5034.445628
5034.447384
5034.464492
5034.649256
5034.757263
5034.757263
5034.75963
5035.075138
5035.085558
5035.179073
5035.528264
5035.54545
5035.757263
5035.859144
5036.096552
5036.218403
5036.254702
5036.380081
5036.414385
5036.592434
5036.634031
5036.726962
5036.768958
5036.933896
5037.017377
File: 246709549.xls.ms_office
Dmd
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
Arriving
Inventory
Order
Orders On-Hand On-Order Position Quantity
-63
60
-3
-64
60
-4
-65
60
-5
-66
60
-6
-67
60
-7
-68
60
-8
-69
60
-9
-70
60
-10
-71
60
-11
-72
60
-12
-73
60
-13
-74
60
-14
30
-44
30
-14
-45
30
-15
-46
30
-16
-47
30
-17
-48
30
-18
-49
30
-19
-50
30
-20
-51
30
-21
-52
30
-22
-53
30
-23
-54
30
-24
-55
30
-25
-56
30
-26
-57
30
-27
-58
30
-28
-59
30
-29
-60
30
-30
-60
60
0
30
-61
60
-1
-62
60
-2
-63
60
-3
-64
60
-4
-65
60
-5
-66
60
-6
-67
60
-7
-68
60
-8
-69
60
-9
-70
60
-10
-71
60
-11
-72
60
-12
-73
60
-13
-74
60
-14
-75
60
-15
-76
60
-16
-77
60
-17
-78
60
-18
-79
60
-19
-80
60
-20
-81
60
-21
-82
60
-22
-83
60
-23
-84
60
-24
30
-54
30
-24
-55
30
-25
-56
30
-26
-57
30
-27
-58
30
-28
-59
30
-29
-60
30
-30
-60
60
0
30
-61
60
-1
-62
60
-2
-63
60
-3
-64
60
-4
-65
60
-5
-66
60
-6
30
-36
30
-6
-37
30
-7
-38
30
-8
-39
30
-9
-40
30
-10
-41
30
-11
-42
30
-12
-43
30
-13
-44
30
-14
-45
30
-15
30
-15
0
-15
-16
0
-16
-17
0
-17
Lead
Time
Delivery
Period
Page 15 of 41
- Leadtime Inv. before orders Order Pipeline, Arrival Times
Demand Delivery crossed
1
2
3
4
5
-44
-74
5036.769
5032
-54
-84
1 5035.7573
5034
-6
-66
-45
-45
5034 5036.8
5036 5036.8
5036
Sheet: Trace
Period
5037.287158
5037.404183
5037.437786
5037.52578
5037.570839
5037.591512
5037.706143
5038.102444
5038.212345
5038.2175
5038.218997
5038.281305
5038.283992
5038.283992
5038.443712
5038.6124
5038.665112
5038.753703
5038.846401
5038.935692
5038.997491
5039.077191
5039.174697
5039.182398
5039.285203
5039.329692
5039.377851
5039.443212
5039.540938
5039.548147
5039.6252
5039.677224
5039.934501
5039.955243
5040.003119
5040.079987
5040.241041
5040.241171
5040.436163
5040.527045
5040.576647
5040.594166
5040.773648
5040.854747
5040.854747
5040.865775
5040.959478
5040.967434
5040.997509
5041.011809
5041.125872
5041.151166
5041.283992
5041.533536
5041.672056
5041.817197
5041.870454
5041.909493
5041.934927
5041.94124
5042.037145
5042.154729
5042.211057
5042.353996
5042.523147
5042.583484
5042.622043
5042.793783
5042.915065
5043.099852
5043.128838
5043.501251
5043.602072
5043.61249
5043.696944
5043.697507
5043.697507
5043.854747
5043.880203
5043.937087
5043.965608
File: 246709549.xls.ms_office
Dmd
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
Arriving
Inventory
Order
Orders On-Hand On-Order Position Quantity
-18
0
-18
-19
0
-19
-20
0
-20
-21
0
-21
-22
0
-22
-23
0
-23
-24
0
-24
-25
0
-25
-26
0
-26
-27
0
-27
-28
0
-28
-29
0
-29
-30
0
-30
-30
30
0
30
-31
30
-1
-32
30
-2
-33
30
-3
-34
30
-4
-35
30
-5
-36
30
-6
-37
30
-7
-38
30
-8
-39
30
-9
-40
30
-10
-41
30
-11
-42
30
-12
-43
30
-13
-44
30
-14
-45
30
-15
-46
30
-16
-47
30
-17
-48
30
-18
-49
30
-19
-50
30
-20
-51
30
-21
-52
30
-22
-53
30
-23
-54
30
-24
-55
30
-25
-56
30
-26
-57
30
-27
-58
30
-28
-59
30
-29
-60
30
-30
-60
60
0
30
-61
60
-1
-62
60
-2
-63
60
-3
-64
60
-4
-65
60
-5
-66
60
-6
-67
60
-7
30
-37
30
-7
-38
30
-8
-39
30
-9
-40
30
-10
-41
30
-11
-42
30
-12
-43
30
-13
-44
30
-14
-45
30
-15
-46
30
-16
-47
30
-17
-48
30
-18
-49
30
-19
-50
30
-20
-51
30
-21
-52
30
-22
-53
30
-23
-54
30
-24
-55
30
-25
-56
30
-26
-57
30
-27
-58
30
-28
-59
30
-29
-60
30
-30
-60
60
0
30
30
-30
30
0
-31
30
-1
-32
30
-2
-33
30
-3
Lead
Time
Delivery
Period
Page 16 of 41
- Leadtime Inv. before orders Order Pipeline, Arrival Times
Demand Delivery crossed
1
2
3
4
5
5041.284
5041
3 5043.8547
5041 5043.9
-37
-67
-30
-60
5 5048.6975
5041
5044 5048.7
5044
Sheet: Trace
Period
5044.163469
5044.318931
5044.541464
5044.587209
5044.619318
5044.686789
5044.710875
File: 246709549.xls.ms_office
Dmd
1
1
1
1
1
1
1
Arriving
Inventory
Order
Orders On-Hand On-Order Position Quantity
-34
30
-4
-35
30
-5
-36
30
-6
-37
30
-7
-38
30
-8
-39
30
-9
-40
30
-10
Lead
Time
Delivery
Period
Page 17 of 41
- Leadtime Inv. before orders Order Pipeline, Arrival Times
Demand Delivery crossed
1
2
3
4
5
Runin Periods
Run Periods
Q = S-s
Exp. Demand
Var. Dmd (approx)
RNSeed
Periodic Review?
Gamma LT?
Gamma IDT?
Exp. Inter-Demand Time
StDev Inter-Demand Time
Exp. LT
StDev LT
Exp LTD
Var LTD
Exp D(LT+1)
Var D(LT+1)
SimTime
Demands
Orders
Deliveries
Crossings
Cross/Deliv
LTD Avg.
LTD var.
"LT+1 Dem" or "LTD", Avg.
"LT+1 Dem" or "LTD", Var.
S-Inv. (Time Av) Avg.
S-Inv. (Time Av) var.
s-Inv @Deliv. Avg.
s-Inv @Deliv. var.
x
5,000
50,000
20
10
10
5235
FALSE
FALSE
TRUE
0.1
0.1
3
1.4142136
30
230
40
240
50,000
499,303
24,966
24,966
5,150
0.2062805
29.949852
228.45531
30.949852
228.45531
39.434485
185.21499
29.949852
151.85353
x
0
1
2
3
4
5
6
7
8
9
10
11
5,000
50,000
30
10
10
5235
FALSE
FALSE
TRUE
0.1
0.1
3
1.4142136
30
230
40
240
50,000
499,094
16,637
16,636
1392
0.083674
29.913561
228.59412
30.913561
228.59412
44.359368
268.22924
29.913561
192.35463
x
0
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
100
101
102
103
104
105
106
107
108
109
110
111
112
113
114
115
116
117
118
119
120
121
122
123
124
125
126
127
128
129
130
131
132
133
134
135
136
137
138
139
140
141
142
143
100
101
102
103
104
105
106
107
108
109
110
111
112
113
114
115
116
117
118
119
120
121
122
123
124
125
126
127
128
129
130
131
132
133
134
135
136
137
138
139
140
141
142
143
-Inv
144
145
146
147
148
149
150
151
152
153
154
155
156
157
158
159
160
161
162
163
164
165
166
167
168
169
170
-Inv
0
0
2.646E-05
5.552E-05
0.0001775
0.0003714
0.0007612
0.0011762
0.0017154
0.0023825
0.0030543
0.0038026
0.0046104
0.0053155
0.0063485
0.0067831
144
145
146
147
148
149
150
151
152
153
154
155
156
157
158
159
160
161
162
163
164
165
166
167
168
169
170
-Inv
0
6.128E-06
2.059E-05
7.142E-05
0.0001567
0.0003441
0.0007457
0.0011426
0.0016919
0.0022837
0.0030199
0.0036593
0.0043444
0.0048052
0.0058364
0.0062321
0.0077791
0.0087434
0.0094145
0.0105391
0.0116726
0.0128322
0.0140328
0.0152131
0.0170631
0.017772
0.0190689
0.0202201
0.0213202
0.0221948
0.0233565
0.0244317
0.0251406
0.0255983
0.0264334
0.0268699
0.0274836
0.0280486
0.0277169
0.0278298
0.0274234
0.0273628
0.0280595
0.0272542
0.0270159
0.0263981
0.0253343
0.0247088
0.0233546
0.0220016
0.0206707
0.0192302
0.0184046
0.0168853
0.0161094
0.0153081
0.0140193
0.0132491
0.0123487
0.0112462
0.0069116
0.0076005
0.0083077
0.0088757
0.0096537
0.0104885
0.0112809
0.0118038
0.0128571
0.0139093
0.0145269
0.0151656
0.0159298
0.0170096
0.0169454
0.0178661
0.0182014
0.0193204
0.0200977
0.0203536
0.0213798
0.0216118
0.0219001
0.0217289
0.0220579
0.0222683
0.0222535
0.0225058
0.0223755
0.0222811
0.0223969
0.0220006
0.02142
0.0211239
0.0211361
0.0207808
0.019995
0.0200727
0.0191118
0.0187268
0.017764
0.0178156
0.0168225
0.0166022
0.010224
0.0092215
0.0080537
0.0072478
0.0063961
0.0057738
0.004956
0.0042871
0.0036665
0.0031287
0.0027424
0.0021001
0.0018782
0.0014675
0.0011844
0.0009117
0.0007069
0.0005931
0.0004493
0.0003196
0.0002431
0.0001964
0.000143
0.0001246
7.078E-05
4.077E-05
4.799E-05
3.064E-05
2.048E-05
1.475E-05
8.048E-06
1.637E-06
8.232E-06
1.198E-06
3.456E-08
0
0
0
0
0
0
0
0
0
0.0159633
0.0150082
0.0144814
0.013665
0.0130406
0.0120749
0.0116935
0.011041
0.0100038
0.0092399
0.0081784
0.0074553
0.0066811
0.0060476
0.0052099
0.0047862
0.0043379
0.0036787
0.003314
0.0029566
0.0025305
0.0020789
0.0017672
0.0014978
0.0013071
0.0009767
0.0007483
0.0006091
0.00049
0.0004188
0.0003286
0.0002336
0.000159
0.0001117
9.543E-05
5.48E-05
4.862E-05
2.977E-05
2.727E-05
9.165E-06
1.387E-05
2.871E-06
4.76E-06
3.268E-06
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
1.123E-06
1.239E-06
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
LTD
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
LTD
0
8.011E-05
0.0006409
0.0012417
0.003645
0.0072098
0.0138588
0.0173035
0.0224706
0.0260354
0.0258752
0.0258752
0.0204278
0.0193063
0.0197469
0.0174638
0.0185052
0.0174237
0.0197869
0.0209485
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
LTD
0
0.0002404
0.0003006
0.0016831
0.0030055
0.0072133
0.0119019
0.018995
0.0238038
0.0253066
0.0268694
0.0253066
0.0234431
0.0175523
0.0189348
0.0183938
0.0183938
0.0186343
0.0183337
0.0188146
0.0218697
0.0218697
0.0193063
0.0209485
0.0197469
0.0196667
0.0197469
0.0217496
0.0197068
0.0192662
0.0205079
0.0194264
0.0185452
0.0197869
0.0189858
0.0207883
0.0185452
0.0212689
0.0195065
0.021309
0.0212289
0.0196267
0.0199071
0.0191861
0.0196667
0.0184651
0.0172635
0.0171033
0.0150605
0.0156613
0.016182
0.0134583
0.0138989
0.0103741
0.0100937
0.0086518
0.00733
0.0071698
0.005848
0.0045662
0.0037651
0.0034046
0.0030842
0.0019226
0.02176
0.020678
0.0192955
0.0223611
0.020678
0.0218803
0.017913
0.0204376
0.0186944
0.0214595
0.0209185
0.0220005
0.0193556
0.0216398
0.0199567
0.0186343
0.0177326
0.0201371
0.0202573
0.0182736
0.0213994
0.0209185
0.0180933
0.0194157
0.0179731
0.0171916
0.0180933
0.0170714
0.0151479
0.0159894
0.0149675
0.0122025
0.0123828
0.0128036
0.0119019
0.0088363
0.0079947
0.0077543
0.0050493
0.0051695
0.0044482
0.0033662
0.003246
0.0018634
0.0016022
0.0014019
0.0010414
0.000721
0.0005207
0.0004406
0.0002403
0.0001602
0.0003605
8.011E-05
8.011E-05
4.005E-05
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0.0013224
0.0012022
0.0009017
0.0006011
0.000541
0.0002404
0.0001803
0.0002404
6.011E-05
6.011E-05
0
0.0001202
6.011E-05
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
s-Inv @Deliv.s-Inv @Deliv.s-Inv @Deliv.
0
0
0 0.0001803
0.0002003 0.0001803
0.0005608 0.0012022
0.0018826 0.0020438
0.0038452 0.0053498
0.0068493 0.0088363
0.0084915 0.0138855
0.011015 0.0180933
0.0140191 0.0198365
0.0143395 0.0202573
0.0167428
0.021219
0.0137787 0.0203775
0.0149804 0.0159894
0.0157414
0.018454
0.0160618 0.0175523
0.0172234 0.0198966
0.0178643 0.0207382
0.0197869 0.0209786
0.0219899 0.0216999
0.0224706 0.0242246
0.0236321 0.0224213
0.0221101 0.0220606
0.0237523 0.0248858
0.0247136
0.0266362
0.0304414
0.0348874
0.034527
0.0354482
0.0368902
0.0334054
0.0307618
0.0283986
0.0275975
0.0263558
0.0232316
0.0247136
0.0225907
0.0229112
0.0227509
0.0200673
0.0195466
0.0182648
0.0175038
0.0159016
0.0143796
0.013218
0.0119362
0.011776
0.0114956
0.0087719
0.0085717
0.0061684
0.0055275
0.0045262
0.0039253
0.0032845
0.0027638
0.0019226
0.0016422
0.0012817
0.0010815
0.000721
0.0005608
0.0003605
0.0002403
0.0002804
0.0241645
0.0239841
0.0209185
0.0230825
0.0200769
0.0233229
0.0223611
0.0229623
0.0207983
0.022842
0.0213393
0.0209185
0.0212792
0.0254268
0.0261481
0.0238639
0.0279514
0.0251262
0.0211589
0.0209786
0.018454
0.0180933
0.0166506
0.0149675
0.012503
0.0131041
0.012503
0.0104592
0.0096177
0.0102789
0.0084155
0.0067324
0.0049892
0.0051094
0.0036667
0.0033061
0.0030055
0.0024645
0.0019235
0.0011421
0.0009017
0.0007814
0.0004208
0.0004208
0.0002804
0.0001602
8.011E-05
0
0.0001202
0
4.005E-05
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0.0003607
0.0001202
0.0002404
0.0001202
6.011E-05
6.011E-05
0
6.011E-05
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
LT+1 Dem
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
LTDem
0
8.011E-05
0.0006409
0.0012417
0.003645
0.0072098
0.0138588
0.0173035
0.0224706
0.0260354
0.0258752
0.0258752
0.0204278
0.0193063
0.0197469
0.0174638
0.0185052
0.0174237
0.0197869
0.0209485
0.0218697
0.0218697
0.0193063
0.0209485
0.0197469
0.0196667
0.0197469
0.0217496
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
LTDem
0
0.0002404
0.0003006
0.0016831
0.0030055
0.0072133
0.0119019
0.018995
0.0238038
0.0253066
0.0268694
0.0253066
0.0234431
0.0175523
0.0189348
0.0183938
0.0183938
0.0186343
0.0183337
0.0188146
0.02176
0.020678
0.0192955
0.0223611
0.020678
0.0218803
0.017913
0.0204376
0.0197068
0.0192662
0.0205079
0.0194264
0.0185452
0.0197869
0.0189858
0.0207883
0.0185452
0.0212689
0.0195065
0.021309
0.0212289
0.0196267
0.0199071
0.0191861
0.0196667
0.0184651
0.0172635
0.0171033
0.0150605
0.0156613
0.016182
0.0134583
0.0138989
0.0103741
0.0100937
0.0086518
0.00733
0.0071698
0.005848
0.0045662
0.0037651
0.0034046
0.0030842
0.0019226
0.0016022
0.0014019
0.0010414
0.000721
0.0005207
0.0004406
0.0002403
0.0001602
0.0186944
0.0214595
0.0209185
0.0220005
0.0193556
0.0216398
0.0199567
0.0186343
0.0177326
0.0201371
0.0202573
0.0182736
0.0213994
0.0209185
0.0180933
0.0194157
0.0179731
0.0171916
0.0180933
0.0170714
0.0151479
0.0159894
0.0149675
0.0122025
0.0123828
0.0128036
0.0119019
0.0088363
0.0079947
0.0077543
0.0050493
0.0051695
0.0044482
0.0033662
0.003246
0.0018634
0.0013224
0.0012022
0.0009017
0.0006011
0.000541
0.0002404
0.0001803
0.0002404
0.0003605
8.011E-05
8.011E-05
4.005E-05
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
6.011E-05
6.011E-05
0
0.0001202
6.011E-05
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
Discrete IDT Discrete IDT Discrete IDT
0
0
0.0333333 0.0333333
0.0666667 0.0666667
0.1
0.1
0.1333333 0.1333333
0.1666667 0.1666667
0.2
0.2
Discrete F(IDT)
Discrete F(IDT)
Discrete F(IDT)
0.5
0.5
0.5
0.5
0.5
0.5
0.5
0.5
0.5
0.5
0.5
0.5
1
1
Discrete LT Discrete LT Discrete LT
0
0
1
1
2
2
3
3
4
4
5
5
6
6
Discrete F(LT)
Discrete F(LT)
Discrete F(LT)
0
0
0.2
0.2
0.4
0.4
0.6
0.6
0.8
0.8
1
1
1
1
246709549.xls.ms_office, Warning, p. 39 of 41
246709549.xls.ms_office, Warning, p. 40 of 41
E. Exit from Excel. Closing the file is not enough. On the menu bar, select File, and then Exit.
F. Open this file again and follow the instructions in STEP 1 to enable the macros.
For Excel 2003,
A. On the menu bar at the top of this page, select Tools, then Macro, then Security.
B. On the Security Level tab, select Medium and click OK.
C. Then exit from Excel. Closing the file is not enough. On the menu bar, select File, and then Exit.
D. Open this file again and follow the instructions in STEP 1 to enable the macros.
246709549.xls.ms_office, Warning, p. 41 of 41