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The Impact of Supply Disruption on the Standing Order System in the FMCG Supply Chain

Author

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  • E. Kulinska
  • J. Giera
  • A. Kolchanov

Abstract

Purpose: The article aims to present the impact of supply disruption on the FMCG supply chain's standing order system. Design/Methodology/Approach: The research methodology used is the inventory control system's indicators with a fixed order quantity and graphic modeling. Findings: The system with a fixed order quantity requires the determination of the average annual demand for a given good and the determination of the ordering point, which is important for the FMCG branch. Practical Implications: Delivering goods in the right place and time plays an important role in the supply chain of movable goods. Maintaining a safe level of inventory ensures an effective and smooth flow of inventories through the supply chain's links. Originality/value: This article demonstrates the system with a fixed order quantity allows you to determine the size of the average annual demand for a given good and the point of ordering. It was indicated when logistic companies should use this method.

Suggested Citation

  • E. Kulinska & J. Giera & A. Kolchanov, 2020. "The Impact of Supply Disruption on the Standing Order System in the FMCG Supply Chain," European Research Studies Journal, European Research Studies Journal, vol. 0(Special 1), pages 79-88.
    • Handle: RePEc:ers:journl:v:xxiii:y:2020:i:special1:p:79-88
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    References listed on IDEAS

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    1. de Koster, Rene & Le-Duc, Tho & Roodbergen, Kees Jan, 2007. "Design and control of warehouse order picking: A literature review," European Journal of Operational Research, Elsevier, vol. 182(2), pages 481-501, October.
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    More about this item

    Keywords

    Stock management; fixed order quantity; supply chain.;
    All these keywords.

    JEL classification:

    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill
    • M11 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Production Management
    • P41 - Political Economy and Comparative Economic Systems - - Other Economic Systems - - - Planning, Coordination, and Reform

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