Question: ] Consider a fast pick area where cases are picked from pallets (and all full-pallet picks are from reserve storage and may be ignored). Storing

] Consider a fast pick area where cases are picked from pallets (and all full-pallet picks are from reserve storage and may be ignored). Storing a SKU in the fast-pick area realizes a savings of 1.5 minute per pick; but each restock requires about 3 minutes. Because of volatility of purchasing, management is unable to specify a reasonable upper bound on how many pallets of each SKU may be expected in the warehouse. Which of the following SKUs has greatest claim to storage in the fast-pick area? Why? Show calculations to earn full credit.

SKU	Case picks	Demand (pallets)	Reorder point (min. number of pallets)
A	500	20	3
B	800	100	4
C	150	10	1

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