Determining reorder points when lead time is random: A spreadsheet implementation

When demand during lead time is the convolution of a random number of time periods, each with random demand, the resulting compound distribution of total demand during lead time can take on a variety of shapes. Tyworth has proposed a new approach for this problem which does not require a compound distribution. The authors show that his procedure can be easily implemented on a spreadsheet when demand per time unit follows the normal distribution.