Inventory Reduction Without Regret

Balancing Storage and Rebuy Costs

Marygail K. Brauner, John F. Raffensperger, Edward W. Chan

Expert InsightsPublished Jun 17, 2015

Cover: Inventory Reduction Without Regret

The Army's currently high (relative to demand) parts inventory is seen by some as a source of waste, but disposing of too much inventory can increase costs in the long run. The Army should assess the cost of inventory not on its total dollar value but instead on long-term factors such as storage costs, repair costs, and the risk of rebuy. RAND has developed formulas to estimate long-run cost of inventory based on these factors.

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Document Details

  • Availability: Web-Only
  • Year: 2015
  • Pages: 4
  • ISBN/EAN: 978-0-8330-9072-0
  • Document Number: PE-138-A

Citation

RAND Style Manual
Brauner, Marygail K., John F. Raffensperger, and Edward W. Chan, Inventory Reduction Without Regret: Balancing Storage and Rebuy Costs, RAND Corporation, PE-138-A, June 2015. As of September 11, 2024: https://www.rand.org/pubs/perspectives/PE138.html
Chicago Manual of Style
Brauner, Marygail K., John F. Raffensperger, and Edward W. Chan, Inventory Reduction Without Regret: Balancing Storage and Rebuy Costs. Santa Monica, CA: RAND Corporation, 2015. https://www.rand.org/pubs/perspectives/PE138.html.
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This research was sponsored by the United States Army and conducted within the Military Logistics Program, a part of the RAND Arroyo Center.

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