An inventory space factor is a measure of the interactions between individual products competing for space in a warehouse.The value of this factor will be dependent on the operating environment of each warehouse.Such factors as fixed interval ordering, bulk arrivals and bulk receivals will affect the amount of warehouse space required to store the many types of items.This paper discusses a GPSS model of the factors which describe the operating conditions of normal warehouse, and the resulting space factor, which would then define the interaction of products. This factor would then be useful to estimate warehouse size requirements for various operating policies.

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