Question: Nathan s Widgets manufactures and distributes Fidget Cubes for $ 1 5 per cube to multiple retailers including Wamazmart. Their current forecast methodology has been
Nathans Widgets manufactures and distributes Fidget Cubes for $ per cube to multiple retailers including Wamazmart. Their current forecast methodology has been Arithmetic Mean, but they have achieved poor accuracy, poor production plans, and high levels of stockouts andor overstocks. They have contracted with your Consulting Firm to help them with the following questions:
A Should they move to a moving average with n OR a weighted moving average with n a a a OR stay with arithmetic mean?
B Based on your recommendation, what should they forecast for the year
C Based on the forecast for should they use a chase or level production planning strategy for the assumptions shown in the tab labeled CUT & TRY?
D What should their EOQ be if the annualized demand is equal to the forecast in PART B and holding cost is of the cost of each fidget cube and the cost of transporting each order is $
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
