Sourcing Decision Support, Inc. Economic Order Quantity Analysis...Is this supplier able to provide you with a quantity discount schedule that meets your EOQ?

For additional information on this subject see Purchasing Principles and Applications, Stuart Heinritz, Paul V. Farrell, Larry Giunipero Michael Kolchin, Prentice Hall, Englewood Cliffs, NJ, 1991,pages 290-294.

Experience curves for select industries and processes are as follows: aerospace 85%; complex machine tools 75-80%; construction operations 70-90%; contract manufacturing 85-90%; raw materials 93-96%; repetitive clerical tasks 75-85%; custom integrated circuits 70%; and repetitive electronics manufacturing 90-95%.

For additional information on this subject see: Notes on the Use of Experience Curves in Competitive Decision Making, Gerald B. Allan and John S. Hammond, III Harvard Business School, No. 175-174 and The Boston Consulting Group, Perspectives on Experience, Boston, MA, 1970.