The use of simulation instead of traditional parametric methods in inventory control

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F46747885%3A24310%2F23%3A00011494" target="_blank" >RIV/46747885:24310/23:00011494 - isvavai.cz</a>

Výsledek na webu

<a href="https://drive.google.com/file/d/14_dFM8pzjhSr8YqAOVRtWHDIZm9Bg5Pp/view" target="_blank" >https://drive.google.com/file/d/14_dFM8pzjhSr8YqAOVRtWHDIZm9Bg5Pp/view</a>

DOI - Digital Object Identifier

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Jazyk výsledku

angličtina

Název v původním jazyce

The use of simulation instead of traditional parametric methods in inventory control

Popis výsledku v původním jazyce

In this article, we verify that the use of the past stock movement simulation with local search, where minimal reorder point is set by linear regression and maximal reorder point comes from bootstrapping, brings real economic savings in the area of holding and ordering costs. We use real input data coming from a company operating in the automotive industry to compare the best achieved holding and ordering costs in continuous review fixed order quantity inventory control policy where the reorder point calculation is currently based on the traditional parametric method of the moving average. The results of our experiments prove that the past stock moving simulation with the local search, bounded by linear regression and bootstrapping, outperforms traditional parametric methods in achieving the best holding and ordering costs. Application of this modified approach would bring real economic savings at all three examined production plants. The savings in the percentiles of 60 – 90 % time-series are in the range of 33 – 35 % of costs.

Název v anglickém jazyce

The use of simulation instead of traditional parametric methods in inventory control

Popis výsledku anglicky

In this article, we verify that the use of the past stock movement simulation with local search, where minimal reorder point is set by linear regression and maximal reorder point comes from bootstrapping, brings real economic savings in the area of holding and ordering costs. We use real input data coming from a company operating in the automotive industry to compare the best achieved holding and ordering costs in continuous review fixed order quantity inventory control policy where the reorder point calculation is currently based on the traditional parametric method of the moving average. The results of our experiments prove that the past stock moving simulation with the local search, bounded by linear regression and bootstrapping, outperforms traditional parametric methods in achieving the best holding and ordering costs. Application of this modified approach would bring real economic savings at all three examined production plants. The savings in the percentiles of 60 – 90 % time-series are in the range of 33 – 35 % of costs.

Druh

O - Ostatní výsledky

CEP obor

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OECD FORD obor

50200 - Economics and Business

Projekt

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Návaznosti

S - Specificky vyzkum na vysokych skolach

Rok uplatnění

2023

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů