Both notions constitute good indicators to evaluate a company's procurement management, purchase management or inventory management.
They can be calculated on the global inventory but also allow in order to establish an inventory mapping: for example, dividing the inventory value into different inventory cover classes, then working firstly on highest cover classes......
The Economic Order Quantity Wilson Formula or Wilson Formula (created in 1934) allows calculation of order optimal quantity and the time between two orders of aproduct for agivenentity(plant, logistic centre)
Introduced for the first time in 1913 byHarris, it is sometimes known as the Harrys-Wilson Formula....
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