Fan manufacturer uses a periodic review inventory system to


Fan manufacturer uses a periodic review inventory system to purchase electric motors. The review period is 4 weeks and the lead time is 2 week. Demand for electric motors is normally distributed with a mean of 800 per week and a standard deviation of 80 per week. The target inventory is 1900 motors.

a) What is the safety stock?

b) What service level is achieved?

Request for Solution File

Ask an Expert for Answer!!
Operation Management: Fan manufacturer uses a periodic review inventory system to
Reference No:- TGS01275402

Expected delivery within 24 Hours