Describe the types of buffer(s) (i.e., inventory, time, or capacity) you would e
ID: 356801 • Letter: D
Question
Describe the types of buffer(s) (i.e., inventory, time, or capacity) you would expect to find in the following situations. and briefly explain why
(a) A maker of custom cabinets
(b) A producer of automotive spare parts
(c) An emergency room
(d) Wal-Mart
(e) Amazon.com
(f) A government contractor that builds submarines
(g) A bulk producer of chemical intermediates such as acetic acid
(h) A maker of lawn mowers for K-Mart, Sam’s Club and Target
(i) A freeway
(j) The space shuttle (i.e., as a delivery system for advanced experiments)
(k) A business school
Explanation / Answer
Let us first see the definition of Buffering,
The concept of buffering is defined as maintaining enough supplies to keep operations running smoothly. These supplies often include the raw materials needed for production, and also the inventories of finished products waiting for shipment. Manufacturing facilities keep these buffer inventories on hand to help stabilize any fluctuations they experience with their supply and demand chains, production capacities and lead times. Without appropriate buffering, manufacturing processes would slow, expenses would increase and profits would decrease.
In other words Buffering is needed for any Business (Small or Big).
(a) A maker of custom cabinets
>Inventory Buffer:
A custom Cabinets maker need can vary depending on the requirement of the client , but at the in-trend and most desired raw material (ex. Wood) can be a buffer inventory.
>Time Buffer:
A custom Cabinate maker has to keep in mind the arrival of raw material, where its by water shipping or Air. The shippment time has to be taken into onsideration.
> Capacity Buffer:
Having a third party vendor is safe, if there is a delay a local third party vendor is needed for Capacity Buffer.
(b) A producer of automotive spare parts
>Inventory Buffer:
Here the inventory Buffer could be the asethetic part of the automobile the commonly used in all the vehicles.Example - Radio, Camera, Audio/Video Devices, Mirrror and so on
>Time Buffer:
Understanding the timeline is very essential, having multiple Suppliers for spare parts is crucial.
Capacity Buffer:
> This is directly proportional to the demand, having a decent capacity of asethetic spare parts is needed.
(c) An emergency room
> Inventory Buffer:
WHO standard has a list of items needed for an emergency room, ex- Oxygen source , needles , serelizer and so on. In the time of need an emergency room play the most vital part and having Inventory buffer is very much crucial.
>time Buffer:
An emergency room should consider the source of suppilier near by, as this will play a important role.
>Capacity Buffer:
The items which are used in almost all the procedure has to be a capacity Buffer. Example the need of needles and syringes.
(d) Wal-Mart
>Inventory Buffer:
Walmart being the place for family shopping its buffer inventory will depend on the basic requirement of people (Like cerals, milk , vegetables etc ). This will also vary during the festive period.
> time Buffer:
Local Suppliers and shipping duration has to be taken into consideration.
>Capacity Buffer:
This depends on the demand, examples - a certain type of cereal is a best seller so more capacity buffer is needed.
(e) Amazon.com
> Inventory Buffer:
Amazon Buffer inventory is a stock of all possible items which a customer could demand on the basis of popularity, season and market requirement.
Example:
1. If its Christmas the shopping for Giftcards, decorative items will be more.
2. If a new product is launched like a new iphone, the phone cases would be more.
> time Buffer:
Amazon deals with the vendors for materials and shippment, so the estimated time of arrival always has the buffer time inculded. This is why we get a message before the order delivary saying the order has arrived earlier.
> Capacity Buffer:
This again depends on the popularity of the item and also geological need. During a footbal season the number of T-shirts are definetly high in number.
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