ABSTRACT

Emergency Orders ............................................................................ 140 6.4.8 Revisiting: Average Number of Units Held per Cycle with

Emergency Orders ............................................................................ 141 6.4.9 Total Average Number of Units Held per Cycle ............................... 141 6.4.10 Total Average Cycle Length ............................................................. 142 6.4.11 Expected Number of Back Orders per Cycle ................................... 143 6.4.12 Per-Cycle Back Order Probabilities .................................................. 144 6.4.13 Total Cost Equation .......................................................................... 145 6.4.14 Deriving Optimal Conditions ........................................................... 145 6.4.15 Solution Procedure............................................................................ 146

In 1998 there were 400 natural disasters reported in the International Federation of the Red Cross World Disasters Report (1999). These natural disasters affected more than 144 million people, resulting in 90,000 deaths and 5 million temporarily displaced persons. In 1998, the governmental donor community spent more than $3 billion responding to the immediate effects of natural disasters and man-made emergencies (International Federation of Red Cross and Red Crescent Societies 1999). In 2005, the International Federation of the Red Cross World Disasters Report stated that the number of disasters had risen dramatically to an average of 707 disasters per year from 1999 to 2003, affecting an average of 213 million people per year (International Federation of Red Cross and Red Crescent Societies 2005).