Essentials of Novel Inventory Management Systems

Abstract

Keeping inventories adequately maintained to meet the demands of future sales or uses in business enterprises determines the extent of business’s success. Hence, a successful inventory management is necessary, in particular, guided by the formulating of deterministic, stochastic, and probabilistic models. This essentially describes optimal inventory policies in terms of when and how to replenish the inventory. In this paper, we discuss several basic considerations used in determining inventory models that address the needs of current manufacturing and business enterprises. Theories and essentials supported by the novel approaches are integrated to reflect the representation of many actual situations. Multi-product and multi-facility models are given additional consideration at the end.