| dc.description.abstract | The research on ―determining safety stock for an adidas apparel factory applying probabilistic demand model‖ finds out the causes and effects of long order lead time in case of adidas sourcing limited in order to find a way to improve lead time and reduce delay. Safety stock determination is the main method to achieve this objective.
The research was started by reviewing literatures, related theories, and other sources of data to identify the model of this study. Then, observation and lead time measurement is taken in a factory of adidas. The interview with key people of adidas office and factories in Vietnam has conducted to support for the study purpose.
This research used both quantitative and qualitative method in analyzing material lead time, capacity, production complexity and efficiency as the causes of long order lead time. The result of this research indicated that material lead time has highest influence on total lead time and delivery. Using the forecast demand of season Spring / Summer 2014 and historical lead time in 2012, safety stocks were determined for two products, ARWP2275 and ARWP2280. Different service levels were used and generated different amount of safety stock. However, the investment for these stocks is quite high
so some recommendations to improve the inventory investment without affecting service level are illustrated in the final part.
This research also had some limitations in the assumption as well as in the scope of the study. Therefore, some suggestions for further study were recommended at
the end of this research. | en_US |
