Moving beyond trade-offs

Moving beyond trade-offs

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Article ID: iaor1995452
Country: United Kingdom
Volume: 24
Start Page Number: 4
End Page Number: 10
Publication Date: Aug 1994
Journal: International Journal of Physical Distribution & Logistics Management
Authors: , ,
Keywords: distribution
Abstract:

Logisticians are trained to identify trade-offs and to devise compromising solutions which produce the lowest total costs. For example, the economic batch size is a compromise between setup costs and inventory carrying costs. Presents a problem-analysis technique which helps the analyst to eliminate the problem so that no compromise is necessary. For example, instead of balancing inventory-carrying costs and setup costs a solution which produces both lower setup costs and lower inventory-carrying costs would be sought. Discusses a description of the techniques and several examples of its application to logistical problems.

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