ECE 100: Intro to Engineering Design, Presentation No. 14

Daniel E. RiveraDepartment of Chemical and Materials Engineering

Arizona State University

ECE 100: Introduction to Engineering Design

Modeling Assignment No. 3Inventory Management Using PID Control

(Continued); Stochastic Modeling

ECE 100: Intro to Engineering Design, Presentation No. 14

Some Course Business Items…

• Modeling Assignment No. 2 currently being graded and will be returned on Thursday

• Please calculate Inventory Holding costs on the basis of on-hand (and not net) stock. Otherwise you may get negative total costs…

• Use office hours, other means of communication if you are having problem understanding the assignments.

ECE 100: Intro to Engineering Design, Presentation No. 14

Modeling Assignment No. 3

• Add an engineering-based Proportional-Integral-Derivative (PID) decision policy to your previous Excel-based simulation that compares the four EOQ strategies.

• Use your simulation to determine which choice of controlled variable (net stock or inventory position) is “best” suited for this application.

• Evaluate each choice of controlled variable for a 60-day time period; generate both deterministic and stochastic simulations.

• Details provided in the Modeling Assignment No. 3 sheet.

ECE 100: Intro to Engineering Design, Presentation No. 14

Coming Up

• Thursday, March 13: Modeling Assignment No. 3 due. Project 1 description will be distributed. We will return to ECG 347 for this class session.