Demand during lead time: analytical computation
The demand during lead time is computed through convolution of the demand
distribution. Period demand and lead time follow discrete distributions.
Symbols:
|
P{L=l}
|
(discrete)
probability
distribution of the lead time
|
|
P{D=d}
|
(discrete)
probability
distribution of the period demand
|
| L |
lead
time |
|
D
|
period
demand
|
The probability distributions are entered as follows:
Note: The entered probabilites must
sum up to 1.
Assumptions:
- Tempelmeier
(2006)
|
