Analyzing Inventory Cost and Service in Supply Chains

Case Solution

Garrett van Ryzin
Columbia Business School ()

Supply chains consume a large amount of capital and are responsible for most of the cost of goods and operations of a company. Supply chains also create significant value and can be the determining factor for a business to retain its customers. Using concrete examples, this case presents students with an inventory model that shows how the often subtle effects of operational and structural changes in a supply chain can be quantified.

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