SCMN $3720-$ Exercise $2$

Estimating Storage Space

You are a supply chain analyst for Dunder Mifflin. DM is introducing a new "Post it Note"

product which they expect to provide $$18M$ in sales in $2024.$ The VP of Supply Chain

Operations has asked you to estimate the storage space required for the new SKU.

The new SKU will sell for $$50$ per case of the product. The dimensions of a case of the SKU

will be $12$ inches tall by $12$ inches wide by $12$ inches long. Last year DM sold a similar

product that had a cost of goods sold of $$12M,$ an average inventory of $$4M$ and a peak

inventory of $$4\mathrm{.}4M$ with a duration of $4$ months.

Use the space calculator spreadsheet to estimate the floor storage space required for the

new SKU.

For $10$ bonus points: what are the floor storage requirements for staking the full pallets of

the SKU $4$ high?

Upload your finished spreadsheet into the Canvas assignment. Make sure to show your

calculations for how you determined inputs for the calculator. Standard pallet dimensions:

Length: $40$ inches

Width: $48$ inches

Pallet height: $5$ inches

Product height: $60$ inches

Standard pallet takes up $13\mathrm{.}3$ sq ft Storage Space Requirements Calculator