of inventory control efforts through an examination of historical usage for vari

Q: of inventory control efforts through an examination of historical usage for vari

3) For the current scenarios, the alternative approach can involve use of fixed period order system. In this an order is placed on a fixed time duration, The relevant parameter is this model are as follows: P = period at which the order is placed, Q is the quantity to be placed.

ID: 372404 • Letter: O

Question

of inventory control efforts through an examination of historical usage for various parts. Lisa is concerned about being able to provide superior service in order to command a competitive advantage over other local repair shops. That is one reason Lisa keeps her shop open seven days a week, 52 weeks per year. Currently, her shop inventories over 1,000 items. Although a priority of Lisa's is providing superior customer service, there are also a large number of local competitors so cost control is equally important. By keeping an inventory of some items (e.g., wiper refills), she is better able to get customers back on the road more quickly. Furthermore, Lisa uses a bar coding system that provides her a continuous count of the items she keeps inventory. Lisa has collected the following system data: Lisa's parts supplier guarantees her next day delivery, seven days a week, for all Lisa estimates her annual holding cost to be about 5 percent of the item purchase tems. price Lisa estimates the activities required to place an order cost about $25. . Below you will find historical demand figures of 8 different items. In addition, the average service time and service time standard deviation it takes Lisa's shop to service a vehicle requiring the item is noted. Shop Service Time Std Deviation 1 day 1 day negligible 1 hour Item Purchase Price Average Shop Service Time 3 days 4 days 10 minutes 2 hours 2 days Average Weekly Demand of Weekly Demand Item Water pump 4 units Starter motor 28 units 79 units Spark plug 183 units 25 units 8 units 5 units Wiper refill91 units 1 unit $200 5 units 12 units 23 units 6 units 2 units 1 unit 4 units Battery Belt Generator Alternator 4 12 175 190 14 1 day 1 day negligible 4 days 5 minutes

Explanation / Answer

For the current scenarios, the alternative approach can involve use of fixed period order system. In this an order is placed on a fixed time duration,

The relevant parameter is this model are as follows:

P = period at which the order is placed,

Q is the quantity to be placed.

Navigate

of inventory control efforts through an examination of historical usage for vari

of its 26. Afirm unes its weighted A automaticaly gives preferential treatment i

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.

of inventory control efforts through an examination of historical usage for vari

Question

Explanation / Answer

Related Questions

Navigate