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: | Jackson George C., Stoltman J.J., Taylor Audrey |
Keywords: | distribution |
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.