Inventory Optimization options

The following options are used to control the behavior of Inventory Optimization.

• Safety Stock Optimization: Basic
• Safety Stock Optimization: Advanced
• IO Forecast Options
• Rolling Horizon Modeling
• Demand Analysis
• Inventory Simulation
• Termination Settings
• Infeasibility Diagnosis Options

Additional options can be set in a configuration file, as described in Using the Inventory Optimization configuration file.

Note that there are several solve types associated with Inventory Optimization:

• Safety Stock Optimization – The standard Safety Stock Optimization process runs.
• Service Level Optimization – The Service Level Optimization process runs. Service Level Optimization requires data populated by Safety Stock Optimization.
• Safety Stock + Service Level Optimization – Safety Stock Optimization runs followed by Service Level Optimization.
• Rolling Horizon Modeling - The Rolling Horizon Modeling process runs. Rolling Horizon Modeling requires data populated by Safety Stock Optimization.
• Safety Stock Optimization + Rolling Horizon Modeling - Safety Stock Optimization runs followed by Rolling Horizon Modeling.

In order to use Service Level Optimization and Rolling Horizon Modeling, Safety Stock Optimization must have previously been run on the model/scenarios. The Inventory Policy Summary output table must contain data for the specific scenario in order to run Service Level Optimization or Rolling Horizon Modeling. For Service Level Optimization, the model must also have at least one record defined in the Service Level Optimization Parameters table.

• If Safety Stock Optimization has not been run on the selected scenario, you will be notified when running either Service Level Optimization or Rolling Horizon Modeling.
• If there are no records defined or included in Service Level Optimization Parameters, you are warned and the Service Level Optimization process is terminated.