Question: You are tasked with selecting a preferred supplier from two candidates ( A and B ) . Based on historical data, both have an average

You are tasked with selecting a preferred supplier from two candidates (A and B). Based on historical data, both have an average replenishment time of 30 days; however, Supplier A has a replenishment time standard deviation of 1 day, and Supplier B has a replenishment time standard deviation of 2 days. Which supplier should you select? Why?
Supplier A because its replenishment time has less variability.
Supplier B because its replenishment time has less variability.
Either because they have the same replenishment time variability.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!