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In calculations of inventory control costs, the effects of stockouts are often assumed or avoided because of the lack of accounting data for reasonable measurements. The authors describe the development of stockout cost models incorporating decisions made by consumers in an actual retail situation. Equations for calculating the revenue differences are based on the consumer decision alternatives. The results of a consumer survey, combined with retail prices for the product lines in question, enable the financial effects of stockouts to be calculated.

Looks, in depth, at corporate logistics strategy, particularly with
regard to the USA. Discusses strategy referring to a general concept of
operations guiding all activities towards an ultimate goal – global
rather than local. Itemizes some major American firms and their
attitudes and considers their policies and results. Shows supply chain
management and cycle time compression to be complementing logistics
strategies for progressive US firms.

For more than two decades, industrial leaders in many countries, especially the trading nations such as the United States and Canada, have recognised the significant contribution that physical distribution can make toward the total corporate mission. In many companies formal departments have been created in order to manage the distribution activities. However, acceptance of the physical distribution concept is still growing and the associated responsibilities are becoming broadened in the current international climate of economic uncertainty. In an effort to develop a current profile of the distribution executive and his broadened responsibilities, detailed questionnaires were mailed to distribution executives in Canada and the United States. Specifically, the research sought answers to the following questions: (1) How is the distribution function positioned within the firm? (2) What is the scope of responsibility of distribution management? (3) Does the distribution management function involve distinctive career patterns, educational requirements, or job requirements? (4) What are the perceived educational needs of the distribution manager? (5) What does the physical distribution executive perceive as the major factors affecting his future role in the corporation?

Inventory carrying costs represent one of the highest costs of distribution. Although they are a necessary input to the design of logistical systems, such costs are ignored by many companies and when they are used usually represent estimates or industry benchmarks. The authors present a methodology designed to provide managers with a practical framework for determining the costs of carrying inventory.

Inventory carrying costs comprise a number of different cost components and generally represent one of the highest costs in the physical distribution system. This, combined with the fact that inventory levels are influenced by the configuration of the logistics system, demonstrates the need for an accurate assessment of inventory carrying costs if the appropriate cost tradeoffs are to be made within the firm. Currently, most of the companies that consider the costs of holding inventory use estimates or traditional industry benchmarks. In fact, many corporations do not consider inventory carrying costs in decision making although such costs are substantial and real. Although a number of authors have addressed the types of costs that should be considered and have estimated that such costs range from 12% to 35%, there is not a generally accepted methodology for determining inventory carrying costs or for that matter even a framework for developing such costs. The purpose of this article is to present a methodology, based on existing literature in the fields of accounting, distribution and production, that can be used by managers to determine the cost of carrying inventory for their companies. In addition to providing a framework that can be applied in the "real world", some specific uses for the inventory carrying cost figure are explored.

The purpose of this monograph is to examine the types of data that are required in the design and analysis of physical distribution systems, and to establish a method for obtaining such data to successfully accomplish the objectives of a distribution study. The development of the data base includes determining: (1) data specification; (2) data collection; (3) data analysis; and (4) data validation. All of these stages in data base construction are analysed and evaluated in this paper. This discussion will probably be of most importance to those managers contemplating a computer‐oriented study; an attempt has been made in the monograph to provide a managerial as opposed to a technical overview of data base requirements.

The results from a survey of top retailing executives regarding
current logistics practices and trends are described. The focus is on
customer service factors, the use of a supply chain management approach
in retailing channels, and the impact of information technology on
retail logistics today and in the future. Information technologies
discussed include electronic data interchange, point of sale and
barcoding. The article concludes that based on the importance that
retailers attach to customer service, supply chain management and
information technology, the 1990s will likely be an exciting and
challenging time in the management of the retail logistics function.

The paper focuses on three main issues. First, an attempt is made to define more clearly alternative approaches to the development of integrated distribution systems. There follows a discussion of some of the primary reasons or causes for increased management interest in effective distribution during the 1950s and 1960s.