Statistical Analysis of the Distribution of D062 Demand in a Given Leadtime

摘要

This paper presents the results of several statistical studies of the distribution of forecast errors associated with the forecasting rules currently used in the Economic Order Quantity (EOQ) Buy Computation System (D062). Actual demand histories for over 20,000 Air Force EOQ items for the CY71-79 interval served as the major data source used in the study. Useful analytic approximation formulas are presented in Sections III and IV.