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Retailers Warehouse (RW) is an independent supplier of household items to department stores. RW attempts to stock enough items for a 98 percent service probability.
A stainless steel knife set is one item it stocks. Demand (2,400 sets per year) is relatively stable over the entire year. Whenever new stock is ordered, a buyer must assure that numbers are correct for stock on hand and then phone in a new order. The total cost involved to place an order is about $5. RW figures that holding inventory in stock and paying interest on borrowed capital insurance, and so on, add up to about $4 holding cost per unit per year.
Analysis of past data shows that the standard deviation of demand from retailers is about four units per day for a 365-day year. Lead time to get the order is seven days.
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his will require a practitioner analysis of the organizational problem of interest and an academic literature review of similar organizational problems and organizational development strategy (ies) that you believe will be most beneficial in solvi..
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Rocky Mountain Tire Center sells 15,000 ?go-cart tires per year. How many tires should Rocky Mountain order each time it places an? order?
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