Kayaks!Incorporated manufactures a line of sea kayaks and accessories in a make-to-stock environment. These products are sold to boat dealers and major depart ment stores throughout North America, which then sell these products to the final customer. Customers expect immediate receipt of the goods, so it is critical to have sufficient inventory held by the dealers and depart- ment stores. Aeesha Grant, the materials manager at Kayaks!, wants to make sure that the customer service level is being correctly calculated before she considers any changes to manufacturing. She has collected the following information for you to analyze and prepare a report on the customer service level being provided by Kayaks!Incorporated to the boat dealers and depart- ment stores. Case Questions 1. Kayaks!Incorporated has always measured customer service as the number of complete orders that ship on schedule. Using this measure, calculate the cus- tomer service level provided by Kayaks!Incorporated. 2. Does this method of calculating the customer ser- vice level make sense for Kayaks!Incorporated? Line Dollar Customer Items Value 3. What other methods might be useful in measuring Kayaks! customer service level? How would these affect your analysis of customer service? 4. What is your report to Aeesha Grant with regard to the customer service being provided by Kayaks!Incorporated? Dollar Line Items Shipped on Schedule Dollar Value on Schedule Line Dollar Line Items Shipped on Customer Items Value Schedule Value on Schedule 1 2 2000 2 2000 14 5 8000 5 8000 2 17 40,000 16 37,500 15 5 6000 5 6000 3 9 16,000 9 16,000 16 7 12,000 6 11,500 4 7 9500 6 9000 17 16 28,000 15 24,500 5 24 68,000 22 64,000 18 11 12,000 11 12,000 6 4 6000 4 6000 19 9 17,500 9 17,500 7 7 14,000 7 14,000 20 3 7500 3 7500 8 3 14,000 3 14,000 21 4 11,000 4 11,000 9 9 6000 7 4800 22 8 12,000 8 12,000 10 12 18,500 11 18,000 23 20 48,000 19 44,000 11 7 16,000 7 16,000 24 1 2500 1 2500 13 23 12 12 14,000 11 11,000 25 12 9000 12 9000 11 19,500 9 15,000 Totals 225 417,000 212 392,800