ABSTRACT
Spare parts are important components in maintenance, repairing, and operating activities in manufacturing companies. There are some cases in the aircraft industry in which the lead time and demand of spare parts is stochastic and lead to stockouts. Due to this condition, research is needed. The research is aimed to obtain an optimal inventory policy under stochastic demand and lead time. Inventory policy was done by classifying the spare parts using classification scheme model for stochastic demand and lead time with continuous review (s, Q) policy to address the problem. A distribution approach was conducted to describe the pattern of demand of spare parts and to define the fit equation so the optimal inventory system was capable of generating order quantities and reorder points to minimize stockouts that were caused by stochastic demand and lead time. The results of the inventory policy calculation provided to increase 100% from actual fill rate.
