In my previous posts, I made a few examples, using different Reordering Policy for the same cases and presented them by tables. I think, graphic presentation is better that thousands words and I will try to present all of them as flowcharts (examples from Part 10.2):

Minimum Order Quantity < Sales Order Quantity < Reorder Quantity & Maximum Inventory

Reordering Policy

Fixed Reorder Qty.

Maximum Qty.

Order

Lot-for-Lot

Inventory Stock

0

0

0

0

Sales Order Quantity

750

750

750

750

Safety Stock Quantity

50

50

-

-

Reorder Point

100

100

-

-

Reorder Quantity

1.000

-

-

-

Maximum Inventory

-

1.000

-

-

Minimum Order Quantity

200

200

-

200

Maximum Order Quantity

2.000

2.000

-

2.000

 

Minimum Order Quantity < Reorder Quantity & Maximum Inventory < Sales Order Quantity

Reordering Policy

Fixed Reorder Qty.

Maximum Qty.

Order

Lot-for-Lot

Inventory Stock

0

0

0

0

Sales Order Quantity

1.500

1.500

1.500

1.500

Safety Stock Quantity

50

50

-

-

Reorder Point

100

100

-

-

Reorder Quantity

1.000

-

-

-

Maximum Inventory

-

1.000

-

-

Minimum Order Quantity

200

200

-

200

Maximum Order Quantity

2.000

2.000

-

2.000

 

Minimum Order Quantity > Sales Order Quantity > Reorder Quantity & Maximum Inventory

Reordering Policy

Fixed Reorder Qty.

Maximum Qty.

Order

Lot-for-Lot

Inventory Stock

0

0

0

0

Sales Order Quantity

1.500

1.500

1.500

1.500

Safety Stock Quantity

50

50

-

-

Reorder Point

100

100

-

-

Reorder Quantity

1.000

-

-

-

Maximum Inventory

-

1.000

-

-

Minimum Order Quantity

2.000

2.000

-

2.000

Maximum Order Quantity

5.000

5.000

-

5.000