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Once a dentist orders supplies from her supplier, it takes 20 days to receive them (i.e., the lead time is 20 days). A quick check of the stock of anesthetic indicates that 900 bottles are on hand. Daily usage of the anesthetic is approximately normally distributed with a mean of 40 bottles and a standard deviation of 10 bottles.
(a) Characterize the lead time demand distribution for the anesthetic (i.e., write down the distribution, its parameters). [3 pts]
(b) If the dentist orders today, is she going to be able to achieve her service level target of 96%?

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M9370352

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