$($a$)$ Gen $21$ Grocery $($GG$)$ is company engaged in retail business in Klang Valley is

established in January $2024.$ By $2028$ GG will opening stores nationwide. Supposedly you

are one of the members of consultants in charge of providing advisory on the supply chain

management. Henceforth, address the following SCM issues that will be raised by the board

of directors of GG$,$

$($i$)$ Develop the main key components for GG retail outfit SCM framework that need to be

installed and implemented from $2024$ to $2028.(6$ marks$)$

$($ii$)$ Explain the most suitable SCM strategy for the retail business like GG$.$ Provide

justification for this selection. $($Note: most suitable means only one strategy$)$

$(4$ marks$)$

$($Total $10$ marks$)$

$($b$)$ A printing company estimates that it will require $10,000$ reams of a certain type of paper

in a given period. The cost of carrying one unit in inventory for that period is $$1\mathrm{.}50.$ The

company buys the paper from a wholesaler in the same town, sending its own truck to pick up

the orders at a fixed cost of $$50\mathrm{.}00$ per trip. Treating this cost as the order cost,

$($i$)$ What is the optimum number of reams to buy at one time? $(4$ marks$)$

$($ii$)$ How many times should lots of this size be bought during this period? $(3$ marks$)$

$($iii$)$ What is the minimum cost $($holding and setup$)$ of maintaining inventory on this item for

the period?

$($iv$)$ Of this total cost, how much is carrying cost and how much is ordering cost?