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Brenda opened a pool and spa store in a lively shopping mall and finds business to be booming but she often stocks out of key
Brenda opened a pool and spa store in a lively shopping mall and finds business to be booming but she often stocks out of key items customers want. The ounce bottle of Super Algaecide SA is a high margin SKU, but it stocks out frequently. Ten SA bottles come in each box, and she orders boxes from a vendor miles away. Brenda is busy running the store and seldom has time to review store inventory status and order the right quantity at the right time. She collected the following data:
Demand boxes per week Store open weeksyear
Order cost $order Leadtime weeks
Item cost $box Std deviation in weekly demand
Inventoryholding cost percent per year Service level percent
Brenda wants to consider setting up a fixedperiod inventory system for the ounce bottle of Super Algaecide SA SKU. At the beginning of the current week, D J Kole, the materials manager, checked the inventory level and found units onhand. There were no scheduled receipts and units were on backorder.
What is the review period T Do not round intermediate calculations. Round your answer up to the nearest whole number.
weeks
What is stock replenishment level with safety stock M Do not round intermediate calculations. Round your answer to the nearest whole number.
bottles
How many units should be ordered? Do not round intermediate calculations. Round your answer to the nearest whole number.
ordersyear
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