Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The average demand for donut is 30 units per day. It is assumed that 5 units as daily standard deviation of demand. Lead lime is
The average demand for donut is 30 units per day. It is assumed that 5 units as daily standard deviation of demand. Lead lime is 4 days but it may fluctuate with a standard deviation of 1.5 days. Service level is 90%. Calculate re-order point and safety stock
Step by Step Solution
★★★★★
3.49 Rating (156 Votes )
There are 3 Steps involved in it
Step: 1
The reorder point is a predetermined level of inventory when an order should be placed to replenish the stock before it runs out The reorder point cal...
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Operations Management Managing Global Supply Chains
Authors: Ray R. Venkataraman, Jeffrey K. Pinto
1st edition
1506302935, 1506302939, 978-1506302935
