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20 Units Appendix AVERAGE DELAY average ﬂow backorder costs backorders are present Base-Stock Allocations base-stock levels Buzacott and Shanthikumar coated-abrasives division common in practice customer service Customers waiting demand rate demand satisﬁed equation exponential distribution FIFO requires FIFO workorder scheduling FILL RATE problems ﬁnished goods inventory ﬁrst difference FR(i geometrically distributed giving priority high demand items high ﬁll rate i i Proposition improvement increases Industrial Engineering Keeping ﬁnished LaLonde late delivery occurs M/M/1 FIFO system MAX FILL RATE mean and standard minimizing the average minimum cost policy number of production number of workorders Oak Brook objective function one-for-one replenishment optimal allocation optimal solution optimal stock levels parameter Priority Scheduling Rules priority to backorders production scheduling production work orders queue random variables scheduling discipline semi-ﬁnished items service window Shanthikumar 1993 Simulation sm,x standard deviation T=0 for multiple total base stock total demand units of base utilization rates very-low-demand items