Section A: Short Answer Questions (Worth 45 marks) Question A1 (15 marks) Stellar is an Australian company that sells copiers/scanners. Stellar currently sells eight variants of a copier/scanner, with all inventories kept in finished-goods form. The primary component that differentiates the copiers/scanners is the printing subassembly part. Currently, Stellar holds inventory of all eight different printing subassembly parts. An idea being discussed is to introduce commonality in the printing subassembly (i.e., all eight variants of copiers/scanners use the same common components), so that inventories can be kept in component form instead of the finishedgoods form (i.e.,eight variants of copier/scanner).

(1) This conforms to the concept of postponement, which has been discussed in this subject. Discuss the concept first, and then discuss how it can help Stellar in its operations and logistics management. Be specific in your answer. (9 marks) (2) For Stellar, compared to the case when they hold inventory in finished-goods form, how will (a) and (b) below change after using common components for all variants? i.e., will each of them increase, decrease, or remain the same? Explain why. (6 marks) (a) The response time to customer orders (b) Safety inventory level.

Question A2 (15 marks) During the COVID-19 pandemic, many places experienced people rushing to supermarkets for daily essentials such as toilet paper, especially when there was a recent breakout in the local area. That led to empty shelves and stock-outs for a prolonged period of time in many supermarkets, even though the supermarkets and the product suppliers reassured that there was sufficient production capacity. (1) Related to the different types of costs associated with inventory, explain the rationale of people hoarding products during COVID-19. (9 marks) (2) From a logistics and supply chain perspective, discuss two reasons explaining why supermarkets experienced stockouts for a considerable period of time, when the suppliers had sufficient production capacity.

Question A3 (15 marks) Below is a short description of a case company. Read it and answer the question. Transit is a company providing relocation and removal services for people who need to move within Australia or overseas. Typically the services they provide include the following: go to a customer's place and pack their furniture and household belongings as required; transport these goods, either by truck or by container ship, to the location the customer specifies; provide storage at the destination location if required; and deliver the goods to the address required by the customer, and then unpack the goods. Question: During this OPS 928 subject, five modes of transportation were discussed: Rail; Highway; Pipeline; Water; and Air. Select three transportation modes that are likely to be used by Transit, and, for each of them, discuss why and when Transit should use that specific mode in its operations. Relate to the comparative characteristics and capabilities of the various modes and use examples to support your answer.