A Model for Evaluating Proposals from Multiple Vendors Which Have Different Prices and Lead Times.

Abstract

This thesis presents a PC-based Best Value model which can be used to evaluate up to three vendor proposals for manufacture of a consumable secondary item. This software is designed to run on EXCEL 5.0 or equivalent applications. Both bid price and production lead time for a given order quantity are considered. The model calculates the minimum expected total annual inventory management costs associated with the item for each vendor These costs include ordering, holding, backordering, and procurement costs of the item. This thesis provides the mathematical development of the model, illustration of the calculations, and a user's guide for the program. This thesis also compares the current Navy's Flexible Computer-Aided Manufacturing (FCIM-DSS) model with the Best Value model.

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Document Details

Document Type
Technical Report
Publication Date
Dec 01, 1995
Accession Number
ADA306819

Entities

People

  • Duane A. Childress

Organizations

  • Naval Postgraduate School

Tags

DTIC Thesaurus Topics

  • Advanced Manufacturing
  • Computer-Aided Manufacturing
  • Computers
  • Contract Administration
  • Contracts
  • Inventory
  • Lead Time
  • Manufacturing
  • Procurement
  • Production
  • Scheduling (Production)
  • Time

Readers

  • Computational Modeling and Simulation
  • Industrial Economics
  • Logistics and Supply Chain Management.