Thesis/Capstone
Publication Date
Abstract
This project assesses the inventory strategies for patented and off-patent products in a pharmaceutical supply chain with a focus on service level, forecast accuracy, lead times and supply reliability. The safety stock equation used in the current distribution model is examined and a revised model with a new safety stock equation is proposed. Sensitivity analysis then evaluates the impact of variations in input parameters on the safety stock. The study shows that there is a significant difference in inventories between the proposed model and practice, demonstrating an opportunity to reduce working capital.
Authors: Prashanth Krishnamurthy and Amit Prasad
Advisor: Dr. Jarrod Goentzel