Rathanaksambath LySchool of Management Technology, Sirindhorn International Institute of Technology, Thammasat University, Pathumthani 12120
Morrakot Raweewanmorrakot@siit.tu.ac.thSchool of Management Technology, Sirindhorn International Institute of Technology, Thammasat University, Pathumthani 12120
Abstract:
ABCinventoryclassificationisawell-knownapproachtoassigninventory itemintoA,B, andCgroupsbasedontheirsalesandusagevolume. Thishelpsinventory management become more efficient. Behind itsadvantage,itusuallyshows some problems withan inventorybudgetandwarehousespacebecausetheABCassignmentofSKUsaremadewithoutaninventorybudgetandspaceavailableinvolved.Inthispaper,theABCgroupunderrestrictedofaninventorybudgetandwarehousespace to maximizethe profitwithoptimalservicelevelispresented. WeestablishthisproposedmodeltoenhancetheexistingABCapproachtobemoreapplicableinreallife,whichhasthelimitedinventorybudgetandwarehouse space.