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Stocking strategy for service parts – a case study

René Botter (Andersen Consulting, Amsterdam, The Netherlands)
Leonard Fortuin (Eindhoven University of Technology, Eindhoven, The Netherlands)

International Journal of Operations & Production Management

ISSN: 0144-3577

Article publication date: 1 June 2000

Abstract

Service part inventories cannot be managed by standard inventory control methods, as conditions for applying the underlying models are not satisfied. Nevertheless, the basic questions of inventory control have to be answered: Which parts should be stocked? Where should they be stocked? How many of them should be stocked? Presents a case study in which a pragmatic but structured approach is followed – a framework is developed and built into a spreadsheet. The resulting tool has been tested in a real‐life situation, indicating that considerable amounts of money can be saved.

Keywords

Citation

Botter, R. and Fortuin, L. (2000), "Stocking strategy for service parts – a case study", International Journal of Operations & Production Management, Vol. 20 No. 6, pp. 656-674. https://doi.org/10.1108/01443570010321612

Publisher

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MCB UP Ltd

Copyright © 2000, MCB UP Limited