Basic Inventory Models: Part IV: Models for Multiple Items and Constraints

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Abstract

Discusses the models for determining Economic Order Quantities (EOQs) for items in a multi?item situation with constraints. The derivation of EOQs for items under the constraint of average total investment in inventories is given. The EOQs for items where there is a constraint on total workload (i.e., number of orders per annum) is also derived. The characteristics of optimal solution are discussed; the optimal policy curve is derived and its uses explained. An example is used to illustrate the derivations of EOQs under these constraints and to highlight the use of the optimal policy curve.

Additional Information

Product Type Technical Note
Reference No. PROD0175(D)TEC
Title Basic Inventory Models: Part IV: Models for Multiple Items and Constraints
Pages 12
Published on Jan 1, 1982
Authors Shukla, P R;
Area Production Management (PROD)
Discipline Operations Management, Quantitative Methods
Sector Miscellaneous

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