Operations Management MGMT 521 Gulf University for Science & Technology Prof. Jean-Paul Arnaout INVENTORY Case Study 4 = Mais AlGhanim buys its vegetables and meat from two different suppliers. The monthly demand for the two items are as follows: Dy = 14,000 units of vegetables, and DM = 12,000 units of meat. The costs of the items are Cy: KD8/unit, CM = KD18/unit, and the annual holding cost is 21% of the cost. The truck that transports the orders charges KD200 every time it leaves the warehouse, in addition to KD75 for handling and loading/unloading for every supplier it visits. In order to help Mais AlGhanim make a decision regarding how and when to order from their suppliers, kindly answer the following: 1. In case the restaurant wants to order and deliver independently from each supplier: a. What should be the optimal order quantity from every supplier? 2. b. What is the time between orders and the number of orders for every supplier? c. What are the annual holding costs and ordering costs associated with ordering independently from suppliers? In case the restaurant wants to aggregate orders and order jointly from suppliers, redo parts (1.a), (1.b), (1.c), and recommend the best ordering approach; i.e. jointly or independently. 3. Assuming that Mais AlGhanim decided to order jointly, and the truck has the capacity to hold up to a maximum of 9,500 units. If needed, revise the optimal order quantity from every supplier and recommend more suitable quantities to fit in the truck. 4. Assuming Mais AlGhanim decided to order their Meat independently, and the weekly demand has a standard deviation of 275 units/week, and the supplier takes three weeks to deliver the orders. a. Recommend the ss and RoP levels needed to make sure the 98% of the replenishment cycles do not have stock-outs. P.S. Both Excel File and Word report should be submitted.