A company stocks an sku with a weekly demand of 225 units, Operation Management

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A company stocks an sku with a weekly demand of 225 units

A company stocks an SKU with a weekly demand of 225 units and a lead time of 3 weeks. Management will tolerate one stockout per year. If sigma for the lead time is 175 and the order quantity is 800 units, what is the safety stock, the average inventory, and the order point?

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Operation Management: A company stocks an sku with a weekly demand of 225 units

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Operation Management: A company stocks an sku with a weekly demand of 225 units

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