Step 2: Consider stocking in a single DC Avg. Unit Annual shipping proc. Weekly demand Lead EP Demand during Safety pipeline cycle Avg. cost per shipping Weekly Total weekly time EP stock inv. inv. Total inv. holding weekly item to cost per shipping cost cost cost inv. cost Fra item to cost Ger Stocking in (E/unit) mean s.d. mean s.d. France DC (units) (units) (wks) (wks) (units) (units) (units) (units) (units) (units) (E/ wk) (E/ unit) (E/ unit) (E/wk) (E / wk) DVD 10 0.5 20% LCD 400 2 40% GPS 800 0.5 7 30% Stocking in Germany DC DVD 10 0.5 20% LCD 400 2 40%