• How Much Inventory Do you Need?
– Retail Business
• The time required to get fresh inventory
• The cost of reordering
– Service Industry
• Supplies to perform services and meet needs of customers
– Manufacturing Business
• Production rate considering lead time to get in new stock
• Optimum economic quantity to order
• Inventory techniques:
– Just-in-time (JIT) inventory control
– Materials Requirement Planning (MRP)