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The economic order quantity – EOQ - is the optimum amount of material to order that has the lowest inventory cost taking into account the carrying costs, ordering costs, and stockout costs.

Tuesday, 20 October 2009 14:32
Published in Inventory Management
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Now that you should know about the Economic Order Quantity (EOQ) model, the next step is to answer the following question:

Wednesday, 21 October 2009 10:15
Published in Inventory Management
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As stated in last article, companies do hold inventory as they need for running their business.

But holding inventory is not free and so has many financial drawbacks:

Monday, 19 October 2009 16:34
Published in Inventory Management
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Let’s start with the main concepts around inventory:

Thursday, 15 October 2009 20:25
Published in Inventory Management
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A safety stock is used to prevent any stockout due to a variable demand and/or a variable delivery leadtime.

Wednesday, 21 October 2009 13:46
Published in Inventory Management
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Now we know that inventory has good reason to be held, we can look at the cost structure in order to understand the cost key triggers:

Tuesday, 20 October 2009 09:18
Published in Inventory Management
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