Setting the Optimal Safety Stock

Safety stock provides a buffer to absorb fluctuations in supply and demand and is vital to providing the service your customers expect. But safety stock is also a cost driver for the business, and, as a result, companies are left with a tricky balancing act. Get it wrong, and both customers and the business will suffer.

In this White Paper, you will learn :

• how to find the perfect safety stock level
• how optimization technology can help you get the balance right
• how to accurately calculate “Total Inventory Cost” and “Shortage Cost” (the cost of losing a sale)