Question: Answer correct and with full steps to get 100% feedback!! At a high end hotel the operations manager needs to keep close tabs on all
Answer correct and with full steps to get 100% feedback!!
At a high end hotel the operations manager needs to keep close tabs on all room service items, including a special pine-scented bar soap. The daily demand for the soap is 252 bars, with a standard deviation of 49 bars. The lead time from the supplier is 5 days. The operations managers check the store room for the on-hand inventory of the bar soap every 3 days and places an order if required (i.e. a fixed period policy is being used to manage inventory). What is the target inventory level (T) for the bar soap? Assume that a 97% cycle service level (CSL) is required. Round your answer to 2 decimal places.
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