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A hospital uses a mean of 160 boxes of nitrile gloves per day with a standard deviation of 20. The gloves cost $100 per
A hospital uses a mean of 160 boxes of nitrile gloves per day with a standard deviation of 20. The gloves cost $100 per box plus $500 per delivery. The storage space costs $0.13 per box per day. The hospital normally orders gloves every 14 days and they take 3 to be delivered. These gloves are extremely important for the hospital If it runs out then there will be big problems in the hospital regarding disease transmission. Therefore the hospital strives for a service cycle level of 0.99. a) On a particular day when the boxes of gloves are to be ordered the nurse finds 724 boxes of gloves in storage. How many boxes should be ordered? b) The accountant at the hospital discovers that the sizes of the deliveries of gloves are all different and decides to institute a system with uniform delivery sizes. How many boxes of gloves should be ordered for each delivery? c) Under the new system the accountant counts how many boxes of gloves are in the store room each morning. If there are not enough gloves stored then she places an order. How many boxes is enough? All answers should be to the nearest box.
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Step: 1
a To determine the number of boxes to be ordered on a particular day we need to consider the hospitals desired service cycle level and the current inventory level Given Mean daily demand D 160 boxes S...Get Instant Access to Expert-Tailored Solutions
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Step: 2
Step: 3
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