Minimising Inventory Costs

Overview

Minimising the inventory cost is where you try to minimise the stock produced but still meet demand.

The plan will try to minimise safety stock violations, while still producing enough to meet demand.

Setup

How to incorporate minimising inventory cost:

• Add Minimise Current Stock constraint to the constraint profile you are using to solve the plan.

Minimise Inventory Constraint

Output

• Run the solution and inspect the output on the Stock Details section of the Inventory Tab. You should see the current stock adhering closely to the safety stock level like below

Minimise Inventory Output