We borrow the term 'static stochastic' from the classification of order crossover by Riezebos [2006, Inventory Order Crossovers. International Journal of Production Economics, 104(2), p. 668]. The term 'static stochastic' refers to iid lead times, with its consequence of order crossovers. Here,...

In a study on stochastic inventory systems, Chopra et al. (Decision Sciences 35(1) (2004) 1–24) argue that decreasing lead time is the right lever if they want to cut inventories, not reducing lead time variability. According to Chopra et al., reducing the mean lead time, μ, is more important...