The Application of Quantity Discounts in Army Procurements (Field Test).
Abstract
A change in the present DARCOM Materiel Readiness Command procurement procedures, whereby bids on quantities larger than the EOQ are solicited, may result in significant savings. This depends on the proportion of cost-effective discounts, in the magnitude of the discounts, and on the size of the award quantity relative to the EOQ. A field test conducted at two DARCOM MRCs revealed that the change does produce significant savings and should be used routinely within an automated framework. (Author)
Document Details
- Document Type
- Technical Report
- Publication Date
- Apr 01, 1980
- Accession Number
- ADA084216
Entities
People
- Steven Gajdalo
- Wayne V. Zabel