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Safety Stock Estimation Tutorial

In this tutorial we will be working with the supply chain of the Royal Gazelle bicycle factory, which is the only bicycle factory in the Netherlands that received the Royal Seal of Approval.

We will assume that the factory has three DCs on the territory of the Netherlands, which supply 50 customers in the largest cities of the country. The safety stock estimation experiment will help us estimate the number of bicycles each DC should keep as a safety stock to maintain the required service level.

The result of the experiment can be exported into a new scenario of SIM type for further supply chain optimization.

Let us start this tutorial. Click the link below to get to the first phase.

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