Question: IT'S NOT THE SAME AS OTHER QUESTION ON CHEGG!!! PLEASE SOLVE! DONT COPY! 4.6 (Blood Bank) Dr. Jack is in charge of the Springfield Hospitals
IT'S NOT THE SAME AS OTHER QUESTION ON CHEGG!!! PLEASE SOLVE! DONT COPY! 4.6 (Blood Bank) Dr. Jack is in charge of the Springfield Hospitals Blood Center. Blood is collected in the regional Blood Center 200 miles away and delivered to Springfield by airplane. Dr. Jack reviews blood reserves and places orders every Monday morning for delivery the following Monday morning. If demand begins to exceed supply, surgeons postpone non-urgent procedures, in which case blood is back-ordered.
Demand for blood on every given week is normal with mean 100 pints and standard deviation 34 pints. Demand is independent across weeks.
The following questions explore this situation
a. Dr. Jack wants to ensure that at most 1% of surgeries are delayed due to the unavailability of blood. What order-up-to level should he choose? Choose the closest answer.
b. Dr. Jack is planning to implement a computer system that will allow daily ordering (seven days per week) and the lead time to receive orders will be one day. What will be the average order quantity?
c. Dr. Jack targets a 99 percent in-stock probability under this new daily ordering scheme. What order-up-to level should he choose? Choose the closest answer.
d. If Dr. Jack wants to ensure that at most 1% of surgeries are delayed due to the unavailability of blood. What order-up-to level should he choose under the new daily ordering scheme? Choose the closest answer.
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