Accession Number:

AD0760680

Title:

Penalty Cost Model Post Implementation Evaluation,

Descriptive Note:

Corporate Author:

NAVY FLEET MATERIAL SUPPORT OFFICE MECHANICSBURG PA OPERATIONS ANALYSIS DEPT

Personal Author(s):

Report Date:

1973-05-21

Pagination or Media Count:

24.0

Abstract:

Due to a diminishing work force, NAVSUP Naval Supply Systems Command was required to find a more economical method for selected items to be inventoried. NAVSUP requested FMSO Navy Fleet Material Support Office to develop a method based on shortages avoided and procurements delayed. In response to this request, FMSO developed the PCM Penalty Cost Model. The PCM has been applied to locally managed items at UADPS Uniform Automated Data Processing System activities since 1 Jul 1971. The first year results show decreases in inventory workload, warehouse refusal rate, and major error rate while increasing net supply effectiveness and average dollar gain per inventory. Author

Subject Categories:

  • Operations Research
  • Logistics, Military Facilities and Supplies

Distribution Statement:

APPROVED FOR PUBLIC RELEASE