ABSTRACT
Many companies are faced with the problem of determining the best policy for manufacturing and possibly stocking products or items for which the rate of demand is low and sometimes uncertain. A wide range of practical situations can exist, each requiring a somewhat different general policy. This particular case example illustrates procedures which were developed and applied for a company in the engineering industry whose product range was very wide and complex. The project described constituted an important first step towards a total review of the production planning and control arrangements in the firm concerned.
