Course

Unit I

The Basic Concepts. Inventory management. Independent and dependent demands. Deterministic and stochastic demands. Different inventory systems. Inventory costs
Service level and safety stock Inventory policy, order quantity and reorder point.

Unit II

Inventory Models: Deterministic demand model, Stochastic demand model, Newsvendor model, Optimal solution and approximations, Multi-Item Inventory Models, Independent and dependent demands, ABC Analysis.

Unit III

Joint replenishment inventory problem, Series, assembly, tree and general production network systems, Optimal solution, heuristics and approximation, Bill of material and material requirements planning (MRP), Supply chain management, Material management organization
Centralized and decentralized management.

1. Toomey, J. W., Inventory Management: Principles, Concepts and Techniques. Kluwer
   Academic Publishers, 2000.
2. Zipkin, Paul H., Foundations of Inventory Management. The McGraw-Hill Company,
   2000.
3. Silver, E. A., Pyke, D. F. and Peterson, R., Inventory Management and Production
   Planning and Scheduling. 3 rd Edition, Wiley, 1999.