Question: In a continuous review inventory system, the lead time for door knobs is weeks. The standard deviation of demand during the lead time is units.
In a continuous review inventory system, the lead time for door knobs is weeks. The standard deviation of demand during the lead time is units. The desired cycleservice level is percent. The supplier of door knobs streamlined its operations and now quotes a week lead time. Refer to the standard normal tableLOADING... for zvalues.
Part
How much can the safety stock be reduced without reducing the percent cycleservice level?
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