DEVELOPMENT OF A (R,Q,k,t) SINGLE ITEM INVENTORY REPLENISHMENT POLICY FOR WAREHOUSE MANAGEMENT IN SUPPLY CHAIN -A CASE STUDY IN MINERAL WATER COMPANY

In this paper, the case of a mineral water company is studied and a (R, Q, k, t) single item inventory replenishment policy is proposed and evaluated by means of excel spread sheet simulation in warehouse. The alternative replenishment policies are compared by changing the inventory to retailer demand ratio and inventory to demand forecast ratio values. The performance of the selected ordering policy is evaluated by using sensitivity analysis and stock out screening. The results revealed that the implementation of this policy can reduce the total investment and maximize the customer service, while maintaining the business efficiency.