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    It Is Important To Note That in The Optimal Q The Two Costs Are Equal

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    Karen Márquez
    This document contains information and calculations for inventory modeling problems: 1) It provides parameters for a basic inventory model including demand, ordering quantity, holding costs, lead time, and working days. The optimal order quantity and total costs are calculated. 2) A newsvendor model is presented with price, cost, salvage value, demand distribution, shortage and excess costs, and service level. The optimal order quantity is found that meets the service level goal. 3) A spare parts inventory problem is modeled using a Poisson distribution for demand. Shortage and excess costs are provided. The optimal number of spare parts is calculated to meet the given service level.

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    It Is Important To Note That in The Optimal Q The Two Costs Are Equal

    Uploaded by

    Karen Márquez
    12 views6 pages
    This document contains information and calculations for inventory modeling problems: 1) It provides parameters for a basic inventory model including demand, ordering quantity, holding costs, lead time, and working days. The optimal order quantity and total costs are calculated. 2) A newsvendor model is presented with price, cost, salvage value, demand distribution, shortage and excess costs, and service level. The optimal order quantity is found that meets the service level goal. 3) A spare parts inventory problem is modeled using a Poisson distribution for demand. Shortage and excess costs are provided. The optimal number of spare parts is calculated to meet the given service level.

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    This document contains information and calculations for inventory modeling problems: 1) It provides parameters for a basic inventory model including demand, ordering quantity, holding costs, lead time, and working days. The optimal order quantity and total costs are calculated. 2) A newsvendor model is presented with price, cost, salvage value, demand distribution, shortage and excess costs, and service level. The optimal order quantity is found that meets the service level goal. 3) A spare parts inventory problem is modeled using a Poisson distribution for demand. Shortage and excess costs are provided. The optimal number of spare parts is calculated to meet the given service level.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
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    Download as xlsx, pdf, or txt
    12 views6 pages

    It Is Important To Note That in The Optimal Q The Two Costs Are Equal

    Uploaded by

    Karen Márquez
    This document contains information and calculations for inventory modeling problems: 1) It provides parameters for a basic inventory model including demand, ordering quantity, holding costs, lead time, and working days. The optimal order quantity and total costs are calculated. 2) A newsvendor model is presented with price, cost, salvage value, demand distribution, shortage and excess costs, and service level. The optimal order quantity is found that meets the service level goal. 3) A spare parts inventory problem is modeled using a Poisson distribution for demand. Shortage and excess costs are provided. The optimal number of spare parts is calculated to meet the given service level.

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    Download as XLSX, PDF, TXT or read online from Scribd
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    of 6

    Parameters

    Demand D 12000
    Ordering S 25
    Holding h 0.5
    Working days 250
    Leadtime 5

    a. Q optimal 1095.445115
    b. r 240
    c. T 22.82177323 Days
    d. Total Cost
    Ordering 273.8612788
    Holding 273.8612788
    CT 547.7225575
    It is important to note that
    in the optimal Q the two
    costs are equal.
    Price 10
    Cost 8
    Salvage 5
    Uniform Demand 200 800

    a. Shortage Cost 2
    Excess Cost 3
    Service Level (SL) P(D<=Q*) 0.4
    Q (optimal) 440

    b. P (stockout)= P(D>= Q*) 0.6 remember is (1- SL)


    stockout
    c. Nivel de Servicio P(D<=Q*) 0.85 0.15

    d. Shortage Cost
    Lost sale + goodwill 2
    goodwill 14.93492196 We want obtain this value
    Excess cost 3
    Service Level (SL) P(D<=Q*) 0.85
    Goal Seek 0.849510321 Goal Seek in Excel
    Clear x 0,85*(2+x +3)= (2+x)
    x 15 Answer
    Exercise 35
    Stockout 88000
    Cost 100
    Disposal Costs 145
    Poisson Mean
    3.2
    Shortage Cost 88000 Why? It is the cost of not have one spare part
    Excess Cost 245 Disposal + purchase cost
    Service Level P(D<=Q*) 0.997223638733073 at least this level
    Q Optimal 9 part since you must satisfy the SL .
    X ( spare partes) Poisson
    0 0.040762203978366
    1 0.171201256709138
    2 0.379903741078373
    3 0.602519724405557
    4 0.780612511067304
    5 0.894591894530823
    6 0.955380899044699
    7 0.983170158251042
    8 0.99428586193358 This does not meet SL
    9 0.998238112131815 This is greater than SL
    10 0.999502832195251
    11 0.999870750759159
    12 0.999968862376201
    13 0.999993012928089
    14 0.999998533054234
    15 0.999999710681145
    16 0.999999946206528
    17 0.999999990540717

    b. if you carry 0 spare parts the SL = 0,0407622

    Use this Equation Cs/ (Cs+Ce) =0,0407622 Find Cs


    Cs = (Cs+245)*0,0407622
    Cs -0,0407622Cs = 245*0,0407622 9.986739975
    0,9592379*Cs = 9,98673997
    Cs 10.41111905
    So for Cs between 0 and 10,41 the best strategy is to carry zero spare parts
    one spare part

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