Forecast and Production
...blished a level of safety stock, but of course the final decision would be influenced by the opportunity cost. If my product has a great benefit per product sold, I will take the risk to have products in stock to be sure that I can attend unexpected orders. However if I does not represent a good oppotunity for the company I would work width a reduced quantity taking the risk to have stock-out. Another very important point is the production leadtime and the flexibility to attende de demmand. Always try to buy machines width short setup leadtimes, It would allow you more flexibility in case you want to produce by smaller sets. Always try to plan those products wich stable demand first in your production plan, and tray to pospone as much as posible in the production plan those products width unstable demand. A good way to determine this is calculating de standar desviation of the past sales. Is very importante the supply chain, as a way...