Safety stock serves as a buffer to protect against unexpected demand fluctuations and supply disruptions. On the other hand, retaining an excessive amount of safety stock leads to the immobilization of valuable capital and a subsequent rise in holding costs. MEIO optimizes safety stock levels by considering demand variability, lead times, and service level targets. By leveraging sophisticated algorithms, MEIO helps organizations strike the right balance between inventory availability and cost-effectiveness, reducing the need for excessive safety stock.
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In this blog post, we will explore the five key roles of MEIO in driving supply chain efficiency, highlighting its impact on various aspects of inventory management and providing insights into its benefits. Keep reading.
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