Application of a Model Based on Demand Forecasting, ABC Classification and EOQ in a Gastronomic SME to Improve Inventory Turnover: Case Study in Peru

Bryan Anthony Cuba Paz, Piero Enrique Bazan Cabezas, Alberto Flores-Perez

2022

Abstract

The Small and Medium Enterprise (SME) and gastronomic sector suffered a great negative impact due to the crisis caused by the pandemic, resulting in the search for solutions to minimize costs internally in order to survive the changes of the new economic environment. Therefore, the application of a methodology consisting of demand forecasting, ABC classification and EOQ was proposed to improve inventory turnover in this sector. Several research articles were reviewed, from which the success cases and their methodologies to solve the problem were interpreted. In this case the main problem is the low inventory turnover due to inefficient demand forecasting, inadequate planning of purchases of inputs and poor prioritization of these, which generated losses to the SME studied. For the validation of the contribution, the Arena simulator was used, showing a turnover similar to that of the case study and giving positive results after the application of the contribution, empirically, improving the proposed indicators, such as; the variation of times of purchase of inputs, which increased by 8.57%, the average inventory, which decreased by 22.67%, the level of service, which improved by 5.29% and the main indicator, the inventory turnover, which improved by 40.02%.

Paper Citation

in Harvard Style

Cuba Paz B., Bazan Cabezas P. and Flores-Perez A. (2022). Application of a Model Based on Demand Forecasting, ABC Classification and EOQ in a Gastronomic SME to Improve Inventory Turnover: Case Study in Peru. In Proceedings of the 3rd International Symposium on Automation, Information and Computing - Volume 1: ISAIC; ISBN 978-989-758-622-4, SciTePress, pages 434-439. DOI: 10.5220/0011950400003612

in Bibtex Style

@conference{isaic22,
author={Bryan Anthony Cuba Paz and Piero Enrique Bazan Cabezas and Alberto Flores-Perez},
title={Application of a Model Based on Demand Forecasting, ABC Classification and EOQ in a Gastronomic SME to Improve Inventory Turnover: Case Study in Peru},
booktitle={Proceedings of the 3rd International Symposium on Automation, Information and Computing - Volume 1: ISAIC},
year={2022},
pages={434-439},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0011950400003612},
isbn={978-989-758-622-4},
}

in EndNote Style

TY - CONF

JO - Proceedings of the 3rd International Symposium on Automation, Information and Computing - Volume 1: ISAIC
TI - Application of a Model Based on Demand Forecasting, ABC Classification and EOQ in a Gastronomic SME to Improve Inventory Turnover: Case Study in Peru
SN - 978-989-758-622-4
AU - Cuba Paz B.
AU - Bazan Cabezas P.
AU - Flores-Perez A.
PY - 2022
SP - 434
EP - 439
DO - 10.5220/0011950400003612
PB - SciTePress