Model is used to manage inventories

Assignment Help Operation Management

Reference no: EM13843498

Suppose that an (R,Q) model is used to manage inventories. The firm is planning changes that will reduce the lead time to receive replenishments, but the firm is also planning on making its assortment more "fashionable", which essentially means that, while the expected demand for each product is unlikely to change, the forecast uncertainty is likely to rise for all products. What can be said about the likely change in the firm's order quantity Q (computed by EOQ)?

a) It will surely decrease.

b) It will remain the same.

c) It will surely increase.

d) More information is needed to determine the impact of these changes.

Reference no: EM13843498

Questions Cloud

What advertising agency should we use : Who should we promote? What IT supplier should we use? What advertising agency should we use? Where should the office be located?

Identify the incorrect sentence : 1. Though no vote ________ taken, each delegate and alternate ________ there. a. was/was b. was/were c. were/was d. were/were 3. Either Chris or the new employee ________ the mail before Dolores or Charles ________. a. sort/arrives b. sort/arrive c...

Service calls to regular-contract customers and new customer : Managers of High Tech Services (HTS) would like to develop a model that will help allocate technicians time between service calls to regular-contract customers and new customers. A maximum of 80 hours of technician time is available over the two-week..

Opportunity cost of capital and physical storage costs : Zazz, a maker of a hot new MP3 player, is concerned about the availability of flash memory chips, a key component in the Zazz3 player. It is the start of April and Zazz must commit to a flash memory chip quantity for delivery in July. Furthermore, th..

Model is used to manage inventories : Suppose that an (R,Q) model is used to manage inventories. The firm is planning changes that will reduce the lead time to receive replenishments, but the firm is also planning on making its assortment more "fashionable", which essentially means that,..

Top of the parabolic path : If ? = 360o and d = 0.900m, what launch angle θ0 is required for the drop to be at the top of the parabolic path when it reaches the insect?

Hypothetical group and development through four phases : Your assignment is to write a story about a hypothetical group and its development through the four phases. As an option, you can use a personal experience from your own life. Write a brief definition of each phase of group development and describe h..

What is criminologist enterprise : What is criminological enterprise, not just the broad defination but the specifics of what it is

Copying competitors successful competitive decisions : Some companies operate without developing strategies by copying competitors' successful competitive decisions. Others insist on creating a clear strategy. The challenge of developing a clear, sustainable strategy depends on a reliable process, resear..

User Account

All Pages