Question: a. For a manufacturing process producing machine screws of diameter 2 mm, the DPMO was determined to be 828. What is the sigma rtaing of
a. For a manufacturing process producing machine screws of diameter 2 mm, the DPMO was determined to be 828. What is the sigma rtaing of the manufacturing process?
Sigma-rating is = ______ -
b. The daily demand of a product is normally distributed with a mean of 25 and a standard deviation of 6.25. If the shipment lead time is 16 days; the retailer employs a 96% service rate. The holding cost is $0.95 per unit per year. (1) Keeping mind that the retailer uses safety stock, the reorder point, ROP = _____ units (round your answer to the nearest integer) (2) The safety stock, SS =_____ umits (round your answer to the nearest integer) (3) The increment in the inventory management cost is = $ ____ .
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