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| Author: | Goyal, S.K. |
| Title: | Another example of when partial stock-outs are economically optimal |
| Journal: | Journal of the Operational Research Society
1987 : APR, VOL. 38:3, p.291-293 |
| Index terms: | STORAGE PLANNING |
| Language: | eng |
| Abstract: | The problem of ordering of items under the condition of limited storage capacity is considered. An example involving two products is given,where it is economical to be partially out of stock for one of the products. This is contrary to the generally accepted result for the single product,which must be kept in stock all the time or none of the time. However in the multi-product single-supplier problems,it is very often economical to permit stock-outs for the infrequently ordered items having low stock-out cost. |
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