Question 1 Search for a company that has recently experienced a significant stock out for one of its products (It shouldn't be related to the COVID-19 situation). Describe the background of this company and product characteristics. Relate to the materials covered in SU4. Discuss how suitable the inventory control system was used for this product. If you were in charge of the inventory, what would you have done differently to avoid such stock out? [Your write-up should not exceed 500 words. (25 marks) (6) The manager of the Best Denki store at Jurong Point is planning for the inventory of its Samsung TV. Average demand for the TV is 20 units per day, ordering cost is $120 per order, unit price is $800. lead-time is 3 weeks, carrying holding rate is 20%, and standard deviation of daily demand is 15. Consider 365 days per year. Assume the manager is using a fixed-order quantity system Compute the economic order quantity and the reorder point to have 95% service level. Explain how the system will operate. (15 marks) Great Eastern is a medical insurance provider in Singapore which has the following claims to complete the next week: Claim Type Outpatient treatment Surgical treatment MRI or CT Scans Number of Clains Setup Time per Processing Time to Process Claim Type (hrs) per Claim (hrs) 220 2.5 95 5 2.5 70 0.8 0.7 1.2 Given the process claim capacity of 450 hours per week, examine if the insurance provider is able to process all the claims. Recommend some short-term capacity solutions if the company is not able to complete the workload. (20 marks) Question 1 Search for a company that has recently experienced a significant stock out for one of its products (It shouldn't be related to the COVID-19 situation). Describe the background of this company and product characteristics. Relate to the materials covered in SU4. Discuss how suitable the inventory control system was used for this product. If you were in charge of the inventory, what would you have done differently to avoid such stock out? [Your write-up should not exceed 500 words. (25 marks) (6) The manager of the Best Denki store at Jurong Point is planning for the inventory of its Samsung TV. Average demand for the TV is 20 units per day, ordering cost is $120 per order, unit price is $800. lead-time is 3 weeks, carrying holding rate is 20%, and standard deviation of daily demand is 15. Consider 365 days per year. Assume the manager is using a fixed-order quantity system Compute the economic order quantity and the reorder point to have 95% service level. Explain how the system will operate. (15 marks) Great Eastern is a medical insurance provider in Singapore which has the following claims to complete the next week: Claim Type Outpatient treatment Surgical treatment MRI or CT Scans Number of Clains Setup Time per Processing Time to Process Claim Type (hrs) per Claim (hrs) 220 2.5 95 5 2.5 70 0.8 0.7 1.2 Given the process claim capacity of 450 hours per week, examine if the insurance provider is able to process all the claims. Recommend some short-term capacity solutions if the company is not able to complete the workload. (20 marks)