Explain a computer-supply mail order house has a memory chip, Operation Management

Assignment Help:

A computer-supply mail order house has a memory chip in inventory that it sells to customers around the country. A Japanese manufacturer supplies the item using airfreight. It has the following characteristics: Average annual demand = 3,200 Replenishment lead time = 1.5 weeks Carrying cost = 15% per year Purchase price, delivered = $55 per unit Procurement ordering cost = $35 per order a. Design a reorder point method of control for this item. b. What are the annual ordering and annual carrying costs if your design is used? c. Suppose that the lead time stretches to three weeks, so that the ROP>Q*. What adjustments would you suggest making in the control policy?


Related Discussions:- Explain a computer-supply mail order house has a memory chip

Explain what qualitative measure approach, If a marketing research firm has...

If a marketing research firm has decided to photograph people within the lobby of a movie theatre over a two- to three-day period, what qualitative measure approach will most likel

Explain small business manager, Class, on the final exam you may be asked t...

Class, on the final exam you may be asked the difference between an entrepreneur and a "small business manager" (Hatten, 2009, p. 29) so let's practice with it here. What is the di

Explain how important is the compensation system, How the compensation syst...

How the compensation system influences employees motivation, productivity and satisfaction. How important is the compensation system in an employee's productivity? Are there other

Explain it projects that should be a part of bill''s it plan, List and desc...

List and describe (in two or three sentences each) three IT projects that should be a part of Bill's IT Plan - one project to support each area and/or process identified in above

Calculate the effectiveness of the police department, Q1. What recommendati...

Q1. What recommendations can you offer Dick Enrico to improve his chances of staying successful for the rest of his career? Normal 0 false fal

Explain challenges has the european union consortium faced, Describe what c...

Describe what challenges has the European Union Consortium faced in the last 2-3 years

Explain what type of information must mititech''s suppliers, 1 To ensure th...

1 To ensure that its supply chain can handle a surge in demand, MitiTech should: a. hire additional manufacturing employees b. modify its design to speed up production time

What is cutting stock problem, Consider the cutting stock problem that aris...

Consider the cutting stock problem that arises when a company manufactures sheets of standard width 100 and has commitments to supply 40 sections of width 40, 60 sections of width

Explain the importance of learning curves, Describe the importance of learn...

Describe the importance of learning curves in a services-based operation and how they can be used to increase organization efficiency. Please provide a specific example.

Describe what will be the duration of management conference, What will be t...

What will be the duration of a management conference duration?

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd