A spare parts stocking policy based on equipment criticality
Demand for spare parts can sometimes be classified into critical and non-critical demand, depending on the criticality of the equipment in which it is installed. To effectively handle this situation in spare parts inventory control, we propose a stocking policy where some of the stock is reserved for critical demand. For Poisson demand and a lot-for-lot stocking policy with a deterministic replenishment lead time, approximations of the service levels for both classes of demand are derived, and verified by simulation. Finally, a numerical example is presented to illustrate the advantages of using the proposed policy.
|Keywords||demand classes, equipment criticality, inventory control, spare parts|
|Persistent URL||dx.doi.org/10.1016/S0925-5273(97)00050-9, hdl.handle.net/1765/15307|
Dekker, R., Kleijmeer, M.J., & de Rooij, P.J.. (1998). A spare parts stocking policy based on equipment criticality. International Journal of Production Economics, 69–77. doi:10.1016/S0925-5273(97)00050-9