VARIABLE SAFETY LEVEL/ECONOMIC ORDER QUANTITY POLICY IMPLEMENTATION FOR AMC: THE IMPACT SIMULATOR.
ARMY LOGISTICS MANAGEMENT CENTER FORT LEE VA
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The report describes a computer simulation program that was developed to provide a means of evaluating the effects of procurement and supply management policies and changes thereto on the repair parts catalogs of the various Army National Inventory Control Points NICPs. Effects are measured in terms of expected values of such performance parameters as requirements levels, current obligation authority requirements and obligation authority requirements for the Apportionment and Budget Years, holding, procurement and total operating costs, number of informal and formal procurement actions, backorders, availability and customer waiting time. These measures are calculated for each NICPs catalog and for various segments thereof e.g. Stock Fund, PEMA, and for Low, Medium and High Dollar Value items within each fund class. The simulation computes the expected values of these performance parameters under application of current policies whatever they may be at any point in time and compares them to the same measures that would be obtained under alternative policies operating at various availability target levels. Input to the IMPACT Simulator is the Merged Stratline File, an intermediate output of the programming system used by the Army NICPs to produce inventory stratifications in accordance with DOD Instruction 4140.24. Author
- Logistics, Military Facilities and Supplies