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The Applied Business Analytics Casebook: Applications in Supply Chain Management, Operations Management, and Operations Research by Matthew Drake

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Case 6. Safety Stock Planning for a Hong Kong Fashion Retailer

Tsan-Ming (Jason) Choi, The Hong Kong Polytechnic University1

1 Tsan-Ming (Jason) Choi can be contacted at jason.choi@polyu.edu.hk.

Introduction and Company Background

Inventory management is a critical part of fashion retail supply chain management. For most fashion products, consumer demand is very difficult to forecast, which makes inventory planning more difficult. In this case analysis, we explore the safety stock management problem in a fashion retailer in Hong Kong. With the (adapted) real data from the company, a systematic analysis on safety stock level can be conducted.

JTMC2 is one of the well-known chain store fashion retailers in Hong Kong. JTMC currently has 20 retail ...

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