USING LEAD-TIMES AND USAGE RATES TO DETERMINE INVENTORY REORDER POINTS AND LEVELS

摘要

A method of selectively generating an inventory item reorder notification based on lead-time values and actual average usage values is disclosed. Data defining inventory analysis functions, schedules, and behavioral parameters for master inventory and specific inventory items is received. A scheduled inventory analysis determines whether to generate an item reorder notification. According to one feature, an average periodic uage value for the inventory item is determined, and a pre-determined lead-time value for the inventory item is retrieved. A reorder level value is computed as the mathematical product of the average periodic usage value multiplied by the lead-time value. If the quantity of the inventory item is less than the reorder level, then a reorder notification is generated. According to other features, the reorder notification is generated based on a fixed level par value for the inventory item, cyclically by a fixed date, or cyclically by elapsed time.