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The annual demand for a product is 15,600 units. The weekly demand is 300 units with a standard deviation of 90 units. The cost to place an order is $31.20, and the time from ordering to receipt is four weeks. The annual inventory carrying cost is $0.10 per unit.
A) How much to order: Find the optimum ordering quantity.
B) When to order: Find the reorder point necessary to provide a 98% service level.
C) Suppose the production manager is asked to reduce the safety stock of this item by 50%. If she does so, what will the service level be?
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Frederica's Fine Frozen Foods has a small manufacturing plant outside of Baltimore. In this facility, they make frozen cheese pizzas for distribution to regional grocery stores.
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Assume that you are the manager of Assembly, Inc. You have just received an order for 24 units of an industrial robot, which is to be delivered at the start of week 7 of your schedule.
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When an employee is groomed to take over the supervisor's job by gaining experience in handling important functions of the job, this is known as:
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