Forecast vs Inventory management

[heroadu]

dear friends,

How to apply forecast to inventory control practice? that is, how to use forecast to calculate reorder level, reorder qty, safety stock?
for example, Jan's demand is 100, Feb's demand is 150, March's demand is 130,April's demand is 150, May's demand is 90, June's demand is 110, assuming July's demand forecast is 120, and leadtime is 2 weeks, how to calculate reorder level, safety stock, etc?
any help is welcome, if possible, please give me detailed example and formulae? my personal email goodluck2007jon&yahoo.com.au
(please replace & with @), thanks, Jon

[Starbucks Junkie]

Jon,

I have sent you a Forecasting Inventory Module, with instructions on its use, and also a Safety Stock Calculation tool.

If you have any questions please do not hesitate to ask.

SJ

[heroadu]

hi, mate, I am totally heated up with your help. Now I have my guts,
I would have a look at them, thanks , thanks thanks,
jon

[Starbucks Junkie]

Originally Posted by heroadu

hi, mate, I am totally heated up with your help. Now I have my guts,
I would have a look at them, thanks , thanks thanks,
jon

Can anybody provide me with translated subtitles please

[heroadu]

Do I let you know? sorry my English.
I means thanks your help, good day, jon

[srinivas.d]

ROL = EOQ + SS

Where, EOQ = sqrt(2DS/H)
D= Demand
S = Production or Ordering cost
H = Inventory Holding cost

SS = Z * sqrt (Demand^2 * Std dev in Lead time + Std dev in Demand^2 * Lead time^2)

Z = Normsinv(Service%)

and exp. Service% can be calculated by: cost of Understocking/(Cost of overstocking+cost of understocking)

Srini

[srinivas.d]

and, can I get the excel sheet model with Inventory management details please??? Want to analyze!!

Srini

[heroadu]

Originally Posted by srinivas.d

and, can I get the excel sheet model with Inventory management details please??? Want to analyze!!

Srini

Hi, Srini, who are you talking to for Excel Sheet? please advise, jon

[srinivas.d]

Sorry, that was for SJ regarding the Forecasting Inventory Module and Safety Stock Calculation tool. (I presumed it will be a tool based on MS- Excel!)

Srini

[Starbucks Junkie]

Originally Posted by srinivas.d

Sorry, that was for SJ regarding the Forecasting Inventory Module and Safety Stock Calculation tool. (I presumed it will be a tool based on MS- Excel!)

Srini

Srini,

Go to my profile page and leave a visitor message with your email address, and I will send them through to you with instructions on their use.

SJ