Periodic Review Inventory Policy for Small Military Hospitals

摘要

We report on potential transportation, administrative, and inventory savings through an extended partnership between military hospitals and commercial prime vendors. We develop a simulated (Q,r) inventory model that incorporates inventory management concepts of optimal reorder points and quantities, and then compare the results to a periodic order policy. We compare the policies with a simulation that considers the effects of integrating inventory management, shipping, and invoice processing with the Prime Vendor. Our results suggest that small military hospital may benefit from a periodic order policy.