Average weekly demand is 800phones Standard deviation of weekly demand is 500phones Lot size (Q)is 2000 phones
Question:
Average weekly demand is 800phones –Standard deviation of weekly demand is 500phones
–Lot size (Q)is 2000 phones
Now suppose that the lead time is reduced to the average lead time of 2weeks but the standard deviation of lead timeis 1week
•Samsung targets to deliver cell phones 2weeks after cell phones are ordered but cannot guarantee
–(9-1) What should the safety inventory be if Walmart wishes to achieve CSL of 0.99?
–(9-2) What should the safety inventory be if Walmart wishes to achieve frof 0.99?Now suppose Walmart, uses periodic review policy with review interval of 2weeks when lead time for the Samsung to replenish cell phones is 3weeks•Samsung guarantees to deliver cell phones 3weeks after cell phones are ordered
–(9-3) What should the safety inventory (ss) be if Walmart wishes to achieve CSL of 0.99?–(9-4) What should OULbe if Walmart wishes to achieve CSL of 0.99?