Question: Please provide the methodolofy to solve. The flow structure is : from material supplier to Zamsung FLash drive manufacturing and then FG inventory at Zamsung
Please provide the methodolofy to solve. The flow structure is : from material supplier to Zamsung FLash drive manufacturing and then FG inventory at Zamsung after days. Then it goes to Zenovo Manufacturing and then to Retailers
c Inventory level of Flash drive Finished Goods FG at Zamsung is reviewed at an
interval of once per week week days Immediately after each review, a quantity
is ordered by the Zamsung Inventory controller to raise the total of inhand and on
order inventory of Flash drives in FG to be units ie Basestock is When
Inventory controller places an order to the Zamsung plant, it delivers the requested
quantity of XRiE Flash drive units to the FG after days. Assume the daily demand
for XRiE Flash drive is stable and normally distributed with a mean of units and
standard deviation is Assume both the Zamsung plant and the Zenovo plant work
hours per day, days per week throughout the year. Normal distribution tables can
be found in appendix of this paper
Compute the service level in terms of the coverage probability Type service
level provided to Zenovo using the inventory control policy described above.
marks
ii Compute the average number of stockouts at the FG inventory per year,
assuming weeks of operation per year.
marks
iii Compute the average inventory level of the XRE Flash drive units in
inventory under this policy.
mark
iv Zamsung decided to continuously review the inventory of XRiE Flash drive
units in the and use continuous review inventory policy with
Economic Order Quantity EOQ as the value. Assume the daily demand
and standard deviation of demand remain as specified in this question and both
the Zamsung and the Zenovo work hours per day, days per week
throughout the year.
The order cost including transport is $ per order placed and holding cost
per year is $ per unit. What will be their order quantity based on their
revised QR policy?
mark
v Zamsung manufacturing wanted to provide a coverage probability Type
gervice level of for XRiE Flash Drives. At what level of inventory in
FG should they place a new order in each cycle to provide such customer
service?
marks
vi Given that approximate order cycle in days is determined by units
unitsday how many stockouts might they expect per year under this revised
policy?
marks
Note: Question continues on page
vii What will be the average inventory level of XRiE Zamsung Flash Drives at
FG inventory with this revised inventory control system?
marks
viii If the XRiE Flash drive is a highend product, which policy would you
recommend and why? Use your computed measures in the earlier sections of
each policy to justify your answer.
marks
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
