Question: Develop an Inventory Management analysis, including the below items: Compute the required inventory at the Central Warehouse for all Fabric SKUs (current) (EOQ, ROP, Average
Develop an Inventory Management analysis, including the below items:
- Compute the required inventory at the Central Warehouse for all Fabric SKUs (current)(EOQ, ROP, Average inventory quantity and Annual inventory and ordering costs)
- Compute inventory plans for an Omni-channel Distribution system with only the Central Warehouse (current facility) and then with finished goods stored only at 20 new regional Fulfillment Centers -- compute using only SKU400-COT-WHITE-QUEENas a reference sample.
- Additional data provided for planning:
- Internal orders to production = $10 each
- Internal lead-time for orders to production = 1 week, with very reliable service (StDev=0.05 weeks)
- Compare the As-is to your To-Be network in term of inventory management for the reference SKU.
INFO:
Natun Linen Corp.?is a high-end manufacturer of linens and bedding accessories for retail stores around the country and world. Natun is headquartered in Providence, Rhode Island, and has been in business since 1956. Its primary operating facility is in Columbus, Ohio, which serves as a combined production and warehouse facility. The Columbus center is a?1 million square-foot building with 24 dock doors. From that location, linens have been distributed to a retail customer base of approximately 500 large retailers nationwide.

Primary Supplies Purchased by .. SKU Fabric (raw) Cotton, 200-count, American Upland per yard (118" wide) 123-456 Cotton 400-count, Pima per yard (118" wide) 123-457 Cotton, 600-count Egyptian per yard (118" wide) 123-458 Linen, 400-count per yard (118" wide) 124-100 Polyester blend, 150-count per yard (118" wide) 125-100 Dye (various colors) Per 10lb container 200-X Thread (raw) Cotton per case, & spools per case, 8,000 yards per spool 301-C Linen per case, & spools per case, 8,000 yards per spool 301-L Polyester blend per case, 8 spools per case, 8,000 yards per spool 301-P Label inserts, packaging per box of 500 LABEL-A Bags, packaging per box of 100 BAG-B2C Primary Finished Goods SKU Luxury Cotton bedding set, 600-count Egyptian Cotton (various colors/patterns and sizes) 600-COT-X-Y *X color/pattern code, Yasize Premium Cotton bedding set, 400-count Pima Cotton (various colors/patterns and sizes) 400-COT-X-Y Standard Cotton bedding set, 200-count American Upland Cotton (various colors/patterns and sizes) 200-COT-X-Y Ultra Linen bedding set, 400-count Linen (various colors/patterns and sizes) 400-LIN-X-Y Comfort Blend bedding set, 150-count Polyester blend (various colors/patters and sizes) 150-POL-X-Y EOQ = 2DS ROP = dl + z oal+ od2 H
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