Question
Demand during lead-time for HP printers at a Sams Club store is normally distributed, with a mean of 600 and a standard deviation of 200.
Demand during lead-time for HP printers at a Sam’s Club store is normally distributed, with a mean of 600 and a standard deviation of 200. The store manager continuously monitors inventory and orders 5,000 printers when the inventory drops to 1,000 printers. How much safety inventory does the store carry? What service level does Sam’s club achieve as a result of this policy?
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Business Statistics A Decision Making Approach
Authors: David F. Groebner, Patrick W. Shannon, Phillip C. Fry
9th Edition
013302184X, 978-0133021844
