An Apple store has a demand (D) for 8,000 iPhones per year. The firm operates a 250-day
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An Apple store has a demand (D) for 8,000 iPhones per year. The firm operates a 250-day working year.
On average, delivery of an order takes 3 working days, but has been known to take as long as 4 days. The store wants to calculate the reorder point without a safety stock and then with a one-day safety stock.
APPROACH c First compute the daily demand and then apply Equation (12-6) for the ROP.
Then compute the ROP with safety stock.
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Related Book For
Operations Management: Sustainability And Supply Chain Management
ISBN: 9780135225899,9780135202722
13th Edition
Authors: Jay Heizer; Barry Render; Chuck Munson
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