Inventory Planning with Forecasting Expenditure

Description

In an industrial or business case, purchase or procurement is a significant function. Usually, a procurement plan is prepared on the basis of certain prediction of consumption pattern or demand. However, when this plan is implemented, then the desired benefit is obtained corresponding to the forecast accuracy. In the available literature, the forecasting accuracy is discussed a lot. A need is established to link the forecasting accuracy with a forecasting expenditure. After an explicit inclusion of the forecasting expenditure, the inventory planning for procurement/production is described in the present book. This book is expected to be useful for UG/PG students in engineering and management, and also has good potential for elective/supplementary core courses. Cover Half Title Title Page Copyright Page Contents Preface Author 1. Introduction 1.1 Planned Schedule 1.2 Problem Description 1.3 Forecasting Expenditure 1.3.1 For Buying 1.3.2 For Making 1.4 Potential Benefit 2. Procurement 2.1 Cost Estimate 2.2 Modified Cost Estimate 2.3 Related Index 2.4 Analysis 2.4.1 Reduction in the Forecasting Expenditure 2.4.2 Increase in the Forecasting Expenditure 2.5 Threshold Value 2.5.1 Ordering Cost Variation 2.5.2 Carrying Cost Variation 3. Production 3.1 Total Cost Formulation 3.2 Modified Total Cost 3.3 Relevant Index 3.4 Effects 3.4.1 Decrease in the Forecasting Expenditure 3.4.2 Raise in the Forecasting Expenditure 3.5 Influence on R Value 3.5.1 Facility Setup Cost 3.5.2 Holding Cost 4. Applications 4.1 Buying 4.2 Making 4.3 Associated Index 4.3.1 Buying 4.3.2 Making 4.4 Influence 4.4.1 Purchasing 4.4.2 Production 5. Highlights 5.1 Cost of Forecasting 5.2 Evolution Stage 5.3 Business Use Appendix A.1 Importance of Cycle Time A.2 Variation in Cycle Time A.2.1 Lower Cycle Time A.2.2 Higher Cycle Time A.3 Backordering Situation A.3.1 Downward Variation in Cycle Time A.3.2 Upward Variation in Cycle Time A.4 Interaction of Parameters without Shortages A.4.1 Increased Cycle Time A.4.2 Decreased Cycle Time A.5 Interaction of Parameters with Shortages A.5.1 Longer Cycle Time A.5.2 Shorter Cycle Time General Reading 1 Sequencing of Jobs on a Single Machine 1.1 SPT Rule 1.2 EDD Order 2 Method to Minimize the Number of Tardy Jobs Cycle 1 Cycle 2 Cycle 3 3 Two-Machine Flow Shop Scheduling 4 Work Study 4.1 Motion Study 4.2 Charts Micromotion Study Cyclegraph Chronocyclegraph 4.3 Therbligs 4.4 Principles of Motion Economy 4.5 Time Study 4.5.1 Applications 4.5.2 Procedure to Conduct Time Study 4.5.3 Methods to Evaluate Performance Rating Bibliography Index