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HF 6359M Austino Jonas In what way is universal power supply a postponement stategy? For HF's Rainbow printers manufacturing by the Japanese partner can take up to 14 weeks and an additional four weeks for transportation and customs clearance. Therefore, HP haste specify the specifications for the North American and European model fourteen weeks prior. If HP would choose to use a universal power supply, it would give them the exibility to postpone the engine specification of prints for nearly two months during planning. What are the costs and benets of a universal power swply {feel free to make asst-nptions)?I Integrating a universal power supply can have some cost benefits for HP. One of these benefits include reducing the total inventory costs. Having a universal interchangeable power supply will also help reduce the amount of varying supply as there would be no need to include both the 22D and 11D voit power units. Forecasting accuracy would most likely increase due to reducing one of the aspects of configurable options for the printers. In partnership with forecasting a universal power supply will allow for estimating global product demand E only four months ahead of time. How would such costs and benefits be different over the product life cycle? Incorporating a universal power supply will cost nearly 13.5 million in additional materials cost which may or may not be able to be passed on to the customer. If the increase in price is passed on to a customer, it could potentially create a missed sale which could cause customers to purchase a competitor's product that can last for nearly four generations of printers. Compounding this issue of a lost sale would also create a loss of sales in toner cartridges and other peripheral products. In addition, the cost of stockouts when the new printer is introduced is higher. Paired with bad publicity or word of mouth can affect future sales. One benet to the universal power supplies is end-of-life stage stockout costs will be substantially lower. Besides deciding on universal power smply, what other operational improvements can you suggest to HP Boise? Aside from the universal power supply, HP Boise could focus their efforts on increasing their forecast accuracy as well as attempting to reduce the amount of inventory costs. The application of more accurate forecasting help make decisions such as capacity building, resource allocation, expansion forward or backward integration easier and overall more profitable IAIbamne,2l]1 5}. Renegotiating contracts with their Japanese manufacturers to reduce lead times would also be a beneficial step. rds [a Text Prediction: c-n "Ev-Accessibility: Good to go My recommendation to the adoption of the universal power supply would be to not go through with the change. There are too many unpredictable circumstances with the decision that outweigh the benefits. There will be reduced inventory costs, but it might not be enough to offset the additional cost of $30 per unit for production. Material costs would increase with this change. The largest risk involved with the universal power supply is the lost future sales of printers that can span across four generations of printers. Adding to the loss of unit sales there will be the loss of peripheral products and toner sales. With the loss of sales, variable carrying costs can increase. A sensitivity analysis could be performed by HP Boise which would demonstrate the expected total profit per unit time and the economic lot size, compared with the estimated lost sales. Deterioration of inventory must also be calculated to help identify the potential lost profit per unit that is not sold (Singh, 2020). References Albarune, A. (2015, June). A Study Forecasting Practices in Supply Chain Management. University Utara Malaysia: http://ijis- scm.bsne.ch/ojs.excelingtech.co.uk/index.php/IJSCM/article/download/1080/1080- 3865-1-PB.pdf Singh, S. (2020, January). Effect of Inflation and Variable Holding Cost on Life Time Inventory Model with Multi Variable Demand and Lost Sales. International Journal of Recent Technology and Engineering: https://www.researchgate.net/profile/Karuna- Rana- 2/publication/342348978_Effect_of_Inflation_and_Variable_Holding_Cost_on_Life_Time Inventory_Model_with_Multi_Variable_Demand_and_Lost_Sales/links/5eef93d192851c ege7f80ca7/Effect-of-Inflation-and-Variable-H Read Less " Focus