A Production Modelling Problem Memo System Dynamics Example The production process of a plant uses a certain raw material. Exogenous influences determine the usage rate of this material. To ensure continuous production, the company keeps an inventory of the raw material. A supply delay of 5 months occurs between the ordering of additional raw material and its arrival in the inventory. In an attempt to guard against inventory shortages, the management has decided to employ the formal policy of ordering exactly the amount of material consumed, i.e. order rate = usage rate. Assume the exogenously determined usage rate increases linearly with time. (i) For 10 marks, Solve the production problem presented above. a) Your solution must depict a system dynamics flow diagram. b) Show any two types of flows and the concomitant equations (ii) For 10 Marks - Add sufficient commentary and explanation so that the meaning of each variable, the reasoning behind each formulation, and the data sources for each parameter value are clear to your audience. Describe, in writing, the rationale for each variable, formulation and sources for each parameter. Display your understanding of stocks, flows, etc