Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Management Theories Expert

problem1. describe how carrying cost affects inventory in any organisation. Use exs to illustrate your answer.
 
problem2. An organisation is planning to introduce an inventory system to manage the annual demand for stationary namely, reams of A4 paper. The daily usage rate for reams of A4 paper appears to be distributed, with mean 25 and standard deviation 3. Once an order is placed, it takes 7 working days before delivery is made and the organisation operates throughout the year. The cost of a ream of A4 paper is valued at approximately Rs12 and the organisation estimates that the carrying cost is 25% of the unit cost. The operations manager has made a study of the costs involved in placing and processing an order from the supplier, and concluded that the average ordering cost is Rs25 per order.

(a) Under the above assumptions, what is the economic order quantity?

(b) What is the expected number of orders to be placed each year?

(c) What is the total annual cost associated with your recommended EOQ?

(d) The organisation is concerned about stockouts of such a basic item and, thus, desires a 97% service level. What safety stock should the organisation maintain using the above information?

(e) find out the reorder point to be used.

(f) Suppose that an ordering cost of only Rs15 had been used instead of Rs25.

(i) What is the order size now?

(ii) How would the total cost have changed?

Management Theories, Management Studies

  • Category:- Management Theories
  • Reference No.:- M95754

Have any Question? 


Related Questions in Management Theories

Imagine that you are pitching your hypothetical

Imagine that you are pitching your hypothetical service-based company's marketing plan to the Shark Tank Team for possible investment. Use a tablet, smartphone, laptop, desktop, or traditional video recorder to record a ...

1 summarize the life cycle of a product introduction growth

1. Summarize the life cycle of a product (Introduction, Growth, Maturity, Decline) and explain how the stage of the life cycle impacts price. Provide two examples of products where you have seen this occur. 2. This modul ...

Write five 1-2 page essays approx 75 pages typed in total

Write FIVE 1-2 page essays (approx 7.5 pages typed in total) on the following topics. Each should be well structured with a beginning (introduction), middle (five paragraphs/points with 3 real world examples per essay) a ...

Question 1 in reflecting on the complementary nature of

Question 1: In reflecting on the complementary nature of managing and leading, John Kotter suggested that leadership is about coping with __________ while managing is about coping with __________. change; complexity comp ...

Task 1in task 1 answer each section with brief factual and

Task 1 In Task 1 answer each section with brief, factual and concise statements. 1 Prepare a detailed flow chart illustrating the process of quality control that is employed within your area of responsibility. Include no ...

Assignment annual reviewimagine you work at a company and

Assignment: Annual Review Imagine you work at a company and it is time for an employee named Jim's annual review. While he was a model employee the first nine (9) months of the year, recently Jim has been coming in late. ...

In this paper examine your organizations generic and

In this paper, examine your organization's generic and diversification strategies, its international moves, and its ethics, social responsibility, and environmental sustainability practices. Submit your work in your assi ...

Write in 300 wordscompare and contrast needs-based theories

Write in 300 Words. Compare and contrast needs-based theories of motivation. Which offers the most value to healthcare managers? Discuss the role of thinking processes in organizational communication and problem solving. ...

Mike and iris were flying home from the meeting the audit

Mike and Iris were flying home from the meeting. The audit committee's reaction had not been what they expected. "I'm glad they understood the situation," Mike said. "I'd like you to start revising our risk management do ...

Case study assignment -problem statement you need to

Case Study Assignment - Problem Statement: You need to consider how you will identify the range of issues and problems in the following problem statement. Boutique Hotel Company (BHCo) Please Note: This problem statement ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen