An integrated approach for demand forecasting and inventory management optimisation of spare parts. (2015)

• Record Type: Journal Article
• Authors: Armenzoni, Mattia; Montanari, Roberto; Vignali, Giuseppe; Bottani, Eleonora; Ferretti, Gino; Solari, Federico; Rinaldi, Marta
• Is Part Of: International journal of simulation and process modelling. Volume 10:Number 3(2015)
• Page Start: 233
• Page End: 240
• Publication Date: 2015
• Subjects: spare parts inventory -- discrete event simulation -- DES -- demand forecasting -- stock management -- inventory optimisation -- inventory management -- inventory modelling -- complex products; Management -- Computer simulation -- Periodicals; Mathematical models -- Periodicals; Operations research -- Periodicals; Simulation methods -- Periodicals; 003.05
• Languages: English
• ISSNs: 1740-2123

Abstract

In this paper, we develop and test an advanced model, based on discrete-event simulation, whose purpose is to forecast the demand of spare parts during the whole lifetime of a complex product, such as, for instance, an industrial machine. To run the model, the relevant data of the product manufactured by a targeted company should be collected. With those data, the model provides an estimate of the optimal level of spare parts inventory the company should keep available. The data provided by the model are subsequently applied to a case example, referring to a hypothesised company, manufacturing industrial plants. The application is carried out considering two scenarios, i.e., a 'traditional' and an 'advanced' approach for demand forecasting, this latter reflecting the circumstance where the company makes use of the proposed forecasting method. The comparison of the outcomes obtained in the two scenarios highlights the efficiency and resolution capacity of the model developed.