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You manage the supply chain of NovaTech, a leading tech company in the smart device industry. Your task is to optimize the inventory of five
You manage the supply chain of NovaTech, a leading tech company in the smart device industry. Your task is to optimize the inventory of five critical components: Microchips, Batteries, Displays, Sensors, and Casings. These components have varying costs, storage capacities, and are crucial for daily production activities. The challenge is to purchase and manage these supplies over three days to ensure production needs are met without exceeding storage capacities or depleting inventory below critical levels, all while minimizing purchasing costs. The cost of each component and its daily usage requirement (demand) will vary over the three-day period. The company incurs inventory costs at the end of each day. This variation reflects market dynamics, such as supply chain disruptions, demand surges, or discounts from suppliers. Day 1: Component Cost per unit Demand Microchips $15.00 60 units Batteries $5.00 110 units Displays $20.00 40 units Sensors $2.50 160 units Casings $8.00 75 units Day 2: Component Cost per unit Demand Microchips $14.50 50 units Batteries $4.75 100 units Displays $19.00 30 units Sensors $2.75 150 units Casings $7.50 70 units Day 3: Component Cost per unit Demand Microchips $15.50 70 units Batteries $5.25 120 units Displays $21.00 35 units Sensors $2.25 170
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