Question: ) In a P system, the lead time for a box of weedkiller is 2 weeks and the review period is 1 week. Demand during
) In a P system, the lead time for a box of weedkiller is 2 weeks and the review period is 1 week. Demand during the protection interval averages 280 boxes, with a standard deviation of demand during the protection interval of 40 boxes.
a) What is the cycle-service level when the target inventory is set at 300 boxes?
b) In the fall season, demand for weed-killer decreases but also becomes more highly variable. Assume that during the fall season, demand during the protection interval is expected to decrease to 140 boxes, but with a standard deviation of demand during the protection interval of 60 boxes. What would the cycle-service level be if management keeps the target inventory level set at 300 boxes?
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