Organizational stability and level of adaptability

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1. A firm’s annual demand for a product is 100,000 units. It has a holding cost of $20 per unit per year and an ordering cost of $10 per order. Since the supplier boxes its products into 150 units per box, the firm is required to order an integer multiple of 150 units. Suppose the firm orders the quantity that adheres to the supplier's integer multiple requirement, what is the cost they incur?

2. The prospects of successful change management in an organization are dependent on the commitment to ‘organizational stability’ and the ‘level of adaptability in the organization. How should an official or a team of officials responsible for organizational change management address these two determinants of success/failure when they develop and implement an Organizational Change Management Plan?

Reference no: EM132231943

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