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The Company wants to level the production mix at the pacemaker. The average daily demand and their variance for the five products in this product
The Company wants to level the production mix at the pacemaker. The average daily demand and their variance for the five products in this product family is as shown in the following Table. A day is 432 minutes (after excluding paid breaks and lunch) and a pallet holds 12 units of any part. Items A1 \& A2 are ordered daily, items B1, B2 \& B3 once every three days and item C occasionally. The company keeps finished good stock for products A\&B (with a buffer stock to cover 97.7% of demand surges) and produces C on demand. a) How would you schedule the average daily orders? b) How many units of stock are you going to keep in the finished goods supermarket? c) Consider the following demand for Monday: [ Do you have enough stock and the required capacity to meet the demand for products on Monday? How would you schedule the orders for Monday
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