An alternative approach to continuous review inventory system was the computatio

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An alternative approach to continuous review inventory system was the computation of the base-stock levels of the inventory on the basis of the breakdown of the item to its customers. Here it is to be noted that the order replenishment lead times could not be predicted precisely owing to its randomness of its occurring and no cap on the upper limit of the quantity ordered. Therefore, owing to the volatile demand, algorithms are adapted to compute the levels of the base stock with the view to reduce the average cost in the long-run.

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What is an alternative approach to continuous review inventory system?

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