Weibull vs. normal distribution of demand to determine the safety stock level when using the continuous-review (S, s) model without backlogs Online publication date: Mon, 06-Jun-2016
by Riccardo Manzini; Riccardo Accorsi; Emilio Ferrari; Mauro Gamberi; Valentina Giovannini; Hoang Pham; Alessandro Persona; Alberto Regattieri
International Journal of Logistics Systems and Management (IJLSM), Vol. 24, No. 3, 2016
Abstract: Determining safety stock is one of the most critical issues in inventory and logistics management. This paper presents a cost-based analytical model to determine the best safety stock and customer service level for uncertain demand of products during generic replenishment lead times and a continuous-review inventory system. The proposed model uses the Weibull distribution to model the generic stochastic demand. α and β are the scale parameter and the shape parameter, respectively. An experimental analysis based on the assumption of different distributions of demand of product demonstrates the effectiveness of the proposed model compared to the so-called normal-based traditional model. Significantly, the proposed Weibull-based model is a comprehensible and user-friendly tool that can be useful for production system managers and practitioners.
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Logistics Systems and Management (IJLSM):
Login with your Inderscience username and password:
Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.
If you still need assistance, please email subs@inderscience.com
Our Blog 
Follow us on Twitter 
Visit us on Facebook