Inventory Planning with Forecasting Expenditure

In industrial or business cases, purchasing and procurement are significant functions. Usually, a procurement plan is prepared based on certain predictions of consumption patterns or demand. When this plan is implemented, the benefit is obtained corresponding to forecast accuracy. In the available literature, forecasting accuracy is frequently discussed. A need is established to link forecasting accuracy with forecasting expenditures. After an explicit inclusion of the forecasting expenditure, this book describes inventory planning for procurement and production.

• Discusses forecasting expenditure in detail
• Provides an analysis of reduction and increase in forecasting expenditures
• Highlights advanced concepts that include procurement inventory, production planning, and priority planning in detail
• Examines an approach in relation to the inclusion of an explicit cost of forecasting