The economic order quantity (EOQ) and the economic production quantity (EPQ) are well-known and commonly used inventory control techniques. The standard results are easy to apply but are based on a number of unrealistic assumptions. One of the assumption is that the demand is normally distributed in any interval. In several practical cases the assumption about independence of successive demands, and consequently demand normal distribution in any interval, is not supported by real data. This paper investigates the effects on the expected service level (SL) after relaxing normal distribution assumption on the demand. The present work shows a possible strategy to use classic inventory model, such as EOQ/EPQ model, adopting discrete event simulation analysis to quantify model performances under relaxed assumptions. © 2012 IFIP International Federation for Information Processing.

A proposed approach to extend the Economic Order Quantity (EOQ) model using discrete event simulation / Davoli, Giovanni; Melloni, Riccardo. - 384:(2012), pp. 45-53. ((Intervento presentato al convegno IFIP WG 5.7 International Conference on Advances in Production Management Systems, Value Networks: Innovation, Technologies, and Management, APMS 2011 tenutosi a Stavanger, nor nel 2011 [10.1007/978-3-642-33980-6_6].

A proposed approach to extend the Economic Order Quantity (EOQ) model using discrete event simulation

DAVOLI, Giovanni;MELLONI, Riccardo
2012-01-01

Abstract

The economic order quantity (EOQ) and the economic production quantity (EPQ) are well-known and commonly used inventory control techniques. The standard results are easy to apply but are based on a number of unrealistic assumptions. One of the assumption is that the demand is normally distributed in any interval. In several practical cases the assumption about independence of successive demands, and consequently demand normal distribution in any interval, is not supported by real data. This paper investigates the effects on the expected service level (SL) after relaxing normal distribution assumption on the demand. The present work shows a possible strategy to use classic inventory model, such as EOQ/EPQ model, adopting discrete event simulation analysis to quantify model performances under relaxed assumptions. © 2012 IFIP International Federation for Information Processing.
IFIP WG 5.7 International Conference on Advances in Production Management Systems, Value Networks: Innovation, Technologies, and Management, APMS 2011
Stavanger, nor
2011
384
45
53
Davoli, Giovanni; Melloni, Riccardo
A proposed approach to extend the Economic Order Quantity (EOQ) model using discrete event simulation / Davoli, Giovanni; Melloni, Riccardo. - 384:(2012), pp. 45-53. ((Intervento presentato al convegno IFIP WG 5.7 International Conference on Advances in Production Management Systems, Value Networks: Innovation, Technologies, and Management, APMS 2011 tenutosi a Stavanger, nor nel 2011 [10.1007/978-3-642-33980-6_6].
File in questo prodotto:
Non ci sono file associati a questo prodotto.
Pubblicazioni consigliate

Caricamento pubblicazioni consigliate

Licenza Creative Commons
I metadati presenti in IRIS UNIMORE sono rilasciati con licenza Creative Commons CC0 1.0 Universal, mentre i file delle pubblicazioni sono rilasciati con licenza Attribuzione 4.0 Internazionale (CC BY 4.0), salvo diversa indicazione.
In caso di violazione di copyright, contattare Supporto Iris

Utilizza questo identificativo per citare o creare un link a questo documento: https://hdl.handle.net/11380/1085228
Citazioni
  • ???jsp.display-item.citation.pmc??? ND
  • Scopus 1
  • ???jsp.display-item.citation.isi??? ND
social impact