Managing Inventories - Reorder Point Systems

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Note

Reference no. UVA-OM-0936

Subject category: Production and Operations Management

Authors: James R Freeland (Darden School of Business, University of Virginia); Robert D Landel (Darden School of Business, University of Virginia)

Published by: Darden Business Publishing

Published in: 2000

Length: 16 pages

Topics: Supply-chain; Reorder point systems; Safety stock; Cycle stock; Inventory; Replenishment

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Abstract

This note describes the framework, concepts, and tools of replenishment inventory management. The periodic reorder system is addressed in ''Technical Note on Managing Inventories: Periodic Review Systems'' (UVA-OM-0975). Cycle stock ordering activities are covered in ''Managing Inventories - What is the Appropriate Order Quantity?'' (UVA-OM-1006). Appropriate audiences for this material includes any ''operations'' oriented course or an elective course that covers inventory management.