How can risk mitigation help increase security

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Reference no: EM131433469

Question 1.

The owner of a Chocolate Outlet Store wants to forecast chocolate demandDemand for the preceding 4 years is shown in the following table:

Year

1

2

3

4

Demand (Kilograms)

69,000

71,500

74,900

70,800

Forecast demand for Year 5 using the following approaches:

(1) A three-year simple moving average
(2) A three-year weighted moving average using 0.35 for Year 4, 0.30 for Year 3, and 0.35 for Year 2.
(3) Simple exponential smoothing with α = 0.35 and assuming the forecast for Period 1 = 69,000

Question 2. What key factors need to be considered in supply chain integration and how can risk mitigation help increase security?

Question 3. In two consecutive years a warehouse had the following characteristics.

 

Year 2014

Year 2015

Weight of materials moved

6000 tonnes

7000 tonnes

Number of orders satisfied

1750

1930

Number of stockouts

91

60

Average inventory value stocked

$256,500

$293,000

Cost of administration

$65,000

$77,000

Hours worked

13,000

16,000

Direct costs

$120,000

$180,000

Energy used

22,000kWh

25,000kWh

Energy cost

$3,000

$4,000

Based on the information above - what can you say about its performance?

Reference no: EM131433469

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