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Analysis of safety stock determination methodology-quantity vs. time buffers |
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| รหัสดีโอไอ | |
| Creator | Narasimha P. Bhat |
| Title | Analysis of safety stock determination methodology-quantity vs. time buffers |
| Contributor | Narasimha P. Bhat |
| Publisher | Asia-Pacific Journal of Science and Technology |
| Publication Year | 2566 |
| Journal Title | Asia-Pacific Journal of Science and Technology |
| Journal Vol. | 28 |
| Journal No. | 6 |
| Page no. | 8 |
| Keyword | High volume, Low volume, Safety stock, Seasonality, Unit of measurement, Variance in customer, Variance in lead time |
| URL Website | https://www.tci-thaijo.org/index.php/APST |
| Website title | https://so01.tci-thaijo.org/index.php/APST/article/view/260897 |
| ISSN | 2539-6293 |
| Abstract | In supply chain management, the safety stock approach is a viable solution to counter supply and demand uncertainty. Safety stock ensures safety against forecast errors and buffers against events that could not be predicted during the supply and demand forecast. Forecasting is an art, and safety stock calculation is science. Today various methods exist to determine safety stock, like static quantity based on historical data, Dynamic determination of minimum and maximum safety stock quantity through coverage profiles for each material, service level-based quantities, and maintaining safety stock based on time buffer instead of quantity buffer. The primary goal of this research is to analyze which method among quantity buffer /time buffer makes sense to different types of organizations based on various factors. Based on the systematic review of the recent studies, this paper suggests the appropriate approach for the unit of measure (UOM) for the safety stock for the products of the stable and low volume, regular and high volume, intermittent and low volume demand patterns, High seasonal, and high volume but has higher fluctuation categories. As a result, the conclusions of this study will help future researchers accurately anticipate the unit of measurement of safety stock based on their business conditions. |
