Question
Consider four SKUs that are competing for space in a forward pick area. Each forward location holds a single pallet and will be restocked from
Consider four SKUs that are competing for space in a forward pick area. Each forward location holds a single pallet and will be restocked from bulk storage. Assume you forecast the following activity during the next planning period (where demands and minimum/maximum to be stored are measured in pallets).
Compute the SKU Bs bid for space, assuming the forward pick area is the ground floor of selective rack that is to be used only for case-picking (all full pallets must be picked from bulk storage).
Assume that on average it requires 1.7 minute per pick from the ground level, 2.5 minutes from a higher level, and 3.3 minutes per restock.
Answer: 19.85
Please provide work for the answer provided.
\begin{tabular}{|c|c|c|c|c|c|} \hline SKU & pi & di & Di2 & li & ui \\ \hline A & 100 & 10 & 50 & 2 & 3 \\ \hline B & 128 & 19 & 12 & 2 & 8 \\ \hline C & 200 & 70 & 5 & 1 & 2 \\ \hline D & 400 & 80 & 10 & 1 & 10 \\ \hline \end{tabular}Step by Step Solution
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