Demand and Inventory Simulation using Time Series

Abstract

The importance of implementing an adequate demand and inventory management process improves coordination in supply chain models. The purpose of this research is to analyze and propose the application of a forecasting technique and the implementation of a continuous inventory review policy by designing a simulation for a company in the veterinary commercial sector. Currently, companies without this coordination obtains an inadequate inventory level generating losses in profits and a low demand level of service. This study presents as a result an optimization model based on the ARIMA technique and an inventory model simulated in Arena software.