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2019 | OriginalPaper | Chapter

Assessment of Inventory Indicators for Nomenclature Groups with Rare Demand

Authors : Valery Lukinskiy, Vladislav Lukinskiy, Anna Strimovskaya

Published in: Reliability and Statistics in Transportation and Communication

Publisher: Springer International Publishing

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Abstract

Rare demand is an important part of the inventory management, nevertheless there are no any appropriate analytical descriptions or numerical examples of it except separate papers where considered the possibility to describe rare demand with Poisson distribution. The divergence between forecasts and actual data could be explained by the following reasons: the first one—extreme values in preforecasting period, as well as not significant ‘length’ of the analyzed time period; the second one—taking data for the forecast from the period of conduction certain actions (sales, promo, etc.), consideration of these actions might be done with combined forecasting methods. The paper describes the approach to assessment of inventory consumption for rare demand based on Poisson distribution. Besides, the paper contains the numerical examples and analysis of the results.

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Metadata
Title
Assessment of Inventory Indicators for Nomenclature Groups with Rare Demand
Authors
Valery Lukinskiy
Vladislav Lukinskiy
Anna Strimovskaya
Copyright Year
2019
DOI
https://doi.org/10.1007/978-3-030-12450-2_11

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