Weekly demand for paper towels at a Target store is normally distributed, with a mean of 1,000
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Weekly demand for paper towels at a Target store is normally distributed, with a mean of 1,000 and a standard deviation of 300. The supplier takes two weeks to supply a Target order, which is for a batch size of 5,000. Target is aiming for a fill rate of 99 percent and monitors its inventory continuously. How much safety inventory of paper towels should Target carry? What should its ROP be?
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Related Book For
Supply Chain Management Strategy Planning And Operation
ISBN: 9781292257891
7th Global Edition
Authors: Sunil Chopra
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