Part A has the following planning parameters: Standard leadtime 8 weeks (mfg + transit) Target inventory...
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Part A has the following planning parameters: Standard leadtime 8 weeks (mfg + transit) Target inventory = 1 week • Average weekly demand = 115 units • Current on-hand (week 1) = 2000 units What is the optimal reorder point considering starting on hand condition for part A and reorder quantity from working capital perspective? Assume inbound network has the capability to deliver parts weekly. List out all other assumptions. Part A has the following planning parameters: Standard leadtime 8 weeks (mfg + transit) Target inventory = 1 week • Average weekly demand = 115 units • Current on-hand (week 1) = 2000 units What is the optimal reorder point considering starting on hand condition for part A and reorder quantity from working capital perspective? Assume inbound network has the capability to deliver parts weekly. List out all other assumptions.
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Reorder Point Average Weekly Sales x Weekly Average Lead time Safety Stock 115 un... View the full answer
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