Samrsquos cat hotel operates 50 weeks per year 6 working, Ask an Expert

Management Studies

Sam’s Cat Hotel operates 50 weeks per year, 6 working days per week. Average weekly demand is 50 bags, with a standard deviation of 20 bags. Order lead-time is 12 working days. Desired cycle-service level is 92%. Sam’s Cat Hotel uses a periodic (P) system to replenish inventory of Kitty litter, with review period (OI) = 1 week. a) What is the average demand during the protection period? Protection period = OI+LT b) What is the safety stock? c) What is the Target inventory level (T)? d) It’s time to place the next order. Current inventory on-hand is 140 bags, with no open orders or backorders. How many bags should be ordered this time? Note: Note the time units are given both in days and weeks. You should use the same time unit in your solution processes. Specifically, it’s probably easier to use weeks than days in this problem.

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M92598573

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