Answer :
Reorder point is the quantity level that is reached when the inventory on hand drops to this level. The four determinants of the reorder point quantity are the usage rate, lead time, demand variability, lead time variability and the degree of stock out risk.
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please don't copy off other experts, they all vary Safety (buffer) stock-Service level A wholesaler's computer...
Reorder Point (ROP) models compute the amount of safety stock required in ordering a fixed replenishment quantity that satisfies a specific Customer Service Level during the demand during lead time interval. What is z score value in a standard normal table for the Customer Service Level represented by a Stockout Risk of 5%? 1.64 43 1.96 0 2.33 01.28
Compute the safety stock (S.S.) and reorder point (ROP) for the following situation: Annual Demand = 6570 units Unit Price = $11 and no quantity discounts Ordering Cost = $25/order Holding Cost = $1.50/unit Lead Time = 5 days Desired Customer Service Level = 97.5% Assume 365 days/year and that demand and lead time are constant. Safety Stock = 10; ROP = 90 Safety Stock = 0; ROP = 90 Safety Stock = 5; ROP = 150 Safety Stock =...
7.1 It is reasonable to assume that demand over its replenishment lead time of an item, ISF-086, is nor- mally distributed with x, 20 units and ơ.-4.2 units. a. For a desired service level of P 0.90, compute the required safety factor, safety stock, and reor- der point. b. Repeat for P 0.94, 0.98, and 0.999 c. Prepare a rough sketch of safety stock versus P Is the curve linear? Discuss.
7.1 It is reasonable to assume that demand over...
Using the reorder level-order quantity model, and assuming a safety stock of 800, what is the re-order point (R) given a daily demand of 300 units, a lead time of 5 days? 300 800 1500 2300 1100 Which of the following basic types of process structures needs to keep inventory of work-in-process component parts? Assemble to Order Make to Stock O None of the above Make to Order Engineer to Order Suppose a call center has one agent answering the...
Please kindly explain all the formulas and also how to
find z value from service level in steps
Question 5: (5 Points) A local company uses an average of 650 items a day. The daily usage has a standard deviation of 23. The manager is willing to accept no more than a 1% chance of a stock out. The lead-time is 14 days. (Assuming the distribution of usage is normal). What is the re-order point? Question 6: (5 Points) A...
Scenario: Cars for U. (Question asked previously, don't copy other experts answer please) Jo owns and operates Cars for U, a car sales and service business in Petone. Jo drives her own private Lexus SUV worth $96,000, which she uses 50% of the time for business purposes. The business owns two Toyota sedans valued at a net cost of $25,000 each that are used as courtesy cars in the service department. A business ute (net cost $5,000) has recently failed...
There was no question about Carl’s genius. Seven years ago he decided to enter the competitive nightmare that the personal computer business had become. Although on the surface that appeared to be a rather non-genius-like move, the genius came in the unique designs and features that he developed for his computer. He also figured a way to promise delivery in only two days for the local and regional market. Other computer makers also had rapid production and delivery, but they...
please read instructions on the first picture and follow
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Discussion Board: Chapter 1 Due: Jun 28, 2019 at 11:59 PM Please read the article titled Evolution of Operations Planning and Control: from production to supply chains In at least three paragraphs, describe how and why the focus of operations planning and control has changed over time. While one might argue that answers consisting of sentences quoted from articles do not represent plagiarism, I do not consider them acceptable, and...
please read instructions on the first picture and follow
it
Discussion Board: Chapter 1 Due: Jun 28, 2019 at 11:59 PM Please read the article titled Evolution of Operations Planning and Control: from production to supply chains In at least three paragraphs, describe how and why the focus of operations planning and control has changed over time. While one might argue that answers consisting of sentences quoted from articles do not represent plagiarism, I do not consider them acceptable, and...