4-1. 4-2 chapter four inventory control subject to known demand

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4-1 M cG raw-H ill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

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Page 1: 4-1. 4-2 Chapter Four Inventory Control Subject to Known Demand

4-1McGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Page 2: 4-1. 4-2 Chapter Four Inventory Control Subject to Known Demand

4-2McGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Chapter Four

Inventory Control Subject Inventory Control Subject to Known Demandto Known Demand

Page 3: 4-1. 4-2 Chapter Four Inventory Control Subject to Known Demand

4-3McGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Breakdown of the Total Investment in Inventories

in the U.S. Economy (1999)

Fig. 4-1

Page 4: 4-1. 4-2 Chapter Four Inventory Control Subject to Known Demand

4-4McGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Inventory as a Function of Time

Fig. 4-2

Page 5: 4-1. 4-2 Chapter Four Inventory Control Subject to Known Demand

4-5McGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Order Cost FunctionFig. 4-3

Page 6: 4-1. 4-2 Chapter Four Inventory Control Subject to Known Demand

4-6McGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Inventory Levels for the EOQ Model

Fig. 4-4

Page 7: 4-1. 4-2 Chapter Four Inventory Control Subject to Known Demand

4-7McGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

The Average Annual Cost Function G(Q)

Fig. 4-5

Page 8: 4-1. 4-2 Chapter Four Inventory Control Subject to Known Demand

4-8McGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Reorder Point Calculation for Example 4.1

Fig. 4-6

Page 9: 4-1. 4-2 Chapter Four Inventory Control Subject to Known Demand

4-9McGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Reorder Point Calculation forLead Times Exceeding One Cycle

Fig. 4-7

Page 10: 4-1. 4-2 Chapter Four Inventory Control Subject to Known Demand

4-10McGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Inventory Levels for Finite Production Rate Model

Fig. 4-8

Page 11: 4-1. 4-2 Chapter Four Inventory Control Subject to Known Demand

4-11McGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

All-Units Discount Order Cost Function

Fig. 4-9

Page 12: 4-1. 4-2 Chapter Four Inventory Control Subject to Known Demand

4-12McGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Incremental Discount Order Cost Function

Fig. 4-10

Page 13: 4-1. 4-2 Chapter Four Inventory Control Subject to Known Demand

4-13McGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

All-Units Discount Average Annual Cost Function

Fig. 4-11

Page 14: 4-1. 4-2 Chapter Four Inventory Control Subject to Known Demand

4-14McGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Average Annual Cost Function for Incremental Discount Schedule

Fig. 4-12

Page 15: 4-1. 4-2 Chapter Four Inventory Control Subject to Known Demand

4-15McGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Order Cost Function for Carload Discount Schedule

Fig. 4-13