Developing Requisition Short Cost Parameters for Rimstop (LAMBDA-Generator).
ARMY INVENTORY RESEARCH OFFICE PHILADELPHIA PA
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DoDI 4140.45, Standard Stockage Policy for Consumable Secondary Items at the Intermediate and Consumer Levels of Inventory, requires the Services to determine stockage levels, both which items to stock and how much to stock, at the least cost. Included in the cost considerations is a cost for being unable to fill a requisition, a requisition short cost. This cost is difficult to determine analytically and this report explains an empirical procedure for developing this value based on data about individual items. This data is examined for all items in a catalog of a given Army supply site. The procedure for developing the requisition short cost is called the LAMDBA-Generator and is valid for all supply sites within the Army retail system.
- Economics and Cost Analysis
- Logistics, Military Facilities and Supplies