Question: A retail store's weekly demand for a certain product is 550 units and a o = 320 unit. The weekly demand for this product is

 A retail store's weekly demand for a certain product is 550

A retail store's weekly demand for a certain product is 550 units and a o = 320 unit. The weekly demand for this product is normally distributed. The supplier takes 5 weeks to supply this retail store. The store is targeting a CSL of 95%. How much safety inventory of this product should the retail store carry? What should its ROP (reorder point) be? Mean demand during lead time, DI OL (demand during lead time) safety inventors should be: 3% Reorder point = 3% If the store's reorder point is 3100 instead of the answer you get, what CSL does the store achieve? What is the safety stock? safety stocks = 2% CSL = 2%

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