We have seen inventory managers and planners make the mistake of monitoring on-hand to determine how much inventory they should order. This is an incomplete approach and we describe the appropriate measure for good control.

We explore a widespread error in inventory management which is very basic, very harmful to customer service and cost, and easy to fix.

Following up with last week’s introduction to the application of operations science in Engineering and Construction projects, a case study is provided this week with specifics of application.