Supplier cost explorer.
Three bids. Every cost. One clearer sourcing decision.
Buyer inputs
Adjust the assumptions behind every bid.
The full cost of each bid
Annualized cost by component · USD / year
The inventory trade-off
Average stock held · cycle + safety
Compare the numbers
Five costs, one consistent model.
Does the decision hold as demand changes?
Weekly demand from 50% to 150% of your current input.
Shape the bid. See the impact.
Changes flow straight into the annual cost model and ranking.
The saved case report quotes Supplier 3 at $7.25 / 100 lb; earlier case notes list $4.80. This explorer starts with the saved report. The alternate scenario changes only Supplier 3’s freight rate.
Freight, unpacked
The minimum billable weight is a charge floor, not a minimum order quantity.
Every result has a formula.
Trace your inputs through a worked supplier calculation.
TC = Dc + (Q/2)vi + SSvi + (D/Q)S + (D/Q)F
v = inventory unit value: c for purchase-price valuation, or c + F/Q for landed valuation. Safety stock is counted once.
What the recommendation assumes
Parameter guide
| Symbol | Meaning |
|---|---|
| d / σd | Weekly mean demand / standard deviation, units |
| T / D | Weeks per year / annual demand, D = dT |
| c / Q | Price per unit / fixed lot size, units |
| i / S | Annual carrying rate / cost per order |
| L / σL | Mean lead time / standard deviation, weeks |
| z / SS | Normal service factor / safety stock, units |
| w / Wmin | Unit weight / minimum billable weight, lb |
| r / F | Freight $ per 100 lb / total freight per order |
| v / N | Inventory value per unit / annual orders, D/Q |
Baseline: Supplier_Cost_Assessment_Case_Report.html. USD, 52 weeks, 95% cycle service. Earlier Supplier 3 freight quotation retained as an alternate scenario. No live supplier pricing is used.