ABSTRACT
Within any inventory control system involving many stocked items, it is clearly not sensible to treat all items as being equally important in terms of selection of an appropriate inventory control policy; any more than for selecting a group of forecasting models - as was explored in detail in Chapter 5. In deciding which type of inventory control policy might be appropriate for each stocked item, in broad terms there are three possibilities and hence the Pareto or ABC categorisation scheme will again be considered as an appropriate allocation vehicle. Readers who have not covered the material related to this categorisation scheme should refer to Chapter 5, pp 69-72.
