Abstract: In recent decades, the lean methodology, and the
development of its principles and concepts have widely been applied
in supply chain management. One of the most important strategies of
being lean is having efficient inventory within the chain. On the other
hand, managing inventory efficiently requires appropriate
management of safety stock in order to protect against increasing
stretch in the breaking points of the supply chain, which in turn can
result in possible reduction of inventory. This paper applies a safety
stock cost minimization model in a manufacturing company. The
model results in optimum levels and locations of safety stock within
the company-s supply chain in order to minimize total logistics costs.