Teremana Tequila is making an inventory plan for 2022 considering its nascency. In 2022, TT will strive
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Teremana Tequila is making an inventory plan for 2022 considering its nascency. In 2022, TT will strive to maintain a 97% service level in order to attract more customers. 2020 and 2021 demand data are available and Teremana Tequila has developed a forecast for the year 2022 (see table above). Answer the following questions:
a) Develop an inventory plan for TT for 2022 (hint: compute the order quantity using the information provided in the problem statement).
b) Calculate the ROP and the total inventory costs for 2022.
c) Discuss/Analyze the inventory behavior with the above plan [from a) and b)], comparing it to previous years. What do you observe?
d) What are your recommendations for TT considering the data and the computed inventory plan, ROP, and costs?
Related Book For
Operations Management Sustainability and Supply Chain Management
ISBN: 978-0133764345
2nd Canadian edition
Authors: Jay Heizer, Barry Render, Paul Griffin
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