The Acheson Supply Company provides a full range of products for industrial construction. Acheson buys the product from its manufacturer and then resells the product to construction companies. Its products are readily replaceable, and so a stockout typically results in a lost sale. Through its history, Acheson has maintained a reputation for having things in stock. It was often the first sourcing choice of its customers because they could rely on Acheson to have what was needed. The store is open 6 days per week.
One particular type of fastener experienced fairly steady demand of 27 units per day with a standard deviation of daily demand of 5 units. The lead time for delivery is 6 days.
a) Suppose Acheson uses a reorder point of 170 units. What is the implied cycle service level?
b) Acheson decides the reorder point of 170 is insufficient. They want to achieve a 98% cycle service level with this item. What should the reorder point be?
c) Acheson has another item that sells 1,200 units every week, with a standard deviation of weekly demand of 150 units. The lead time for this item is 3 days. To achieve a 98.5% cycle service level, what should the reorder point be?
d) A third item has a demand of 120 units per day with a standard deviation of 10 units. The lead time is also uncertain: it averages 9 days, with a standard deviation of 0.5 days. To achieve a 96% service level, what should the reorder point be?
e) A fourth item is ordered 26 times per year (i.e. it has 26 inventory cycles per year – it gets ordered every two weeks). It has a 97% cycle service level. What is the likelihood that Acheson will stockout of this item at least once over the course of the year? (Do you remember your basic probability theory?)
f) Acheson actually maintains 4 warehouses across the state. Acheson is considering consolidating the four into a single warehouse. Suppose Acheson has a part that has a demand of 180 units per day with a standard deviation of 25 units per day. This occurs at each of the four warehouses. Also suppose that lead time is 7 days at all four warehouses, and that each maintains a 92% cycle service level.
i) What is the total safety stock at all four warehouses?
ii) If Acheson maintains the same total safety stock at the single, consolidated warehouse as it did at the four separate ones, what would the new cycle service level be?
iii) What should the safety stock be at the consolidated warehouse to achieve the same 92% cycle service level as before?
Outstanding Academic Writing Service
At MyMasterPapers.com, you are assured of professional essay writing help from the leading experts online. Quality comes at the forefront of our custom writing service to ensure that all our customers are satisfied with the work delivered. We value repeat customers. For this reason, we ensure that each task is completed to perfection for high scores.
Our hiring process is highly intensive. The writers are exposed to a strict selection procedure before hiring to ensure that we acquire the most qualified, well-educated and experienced writers. Our team of writers, professors, editors and researchers will ensure that you get incredible results.
We highly discourage plagiarism. For this reason, we have trained our writers in such a way that all the papers are written from scratch and are free from plagiarism. We also pay attention to ensure that each paper is completed as per the instructions provided. Referencing and citations are done as per the paper format selected by the customer. These include: APA, MLA, Chicago, Harvard, Turabian among others.
24/7 Customer Support
You can contact our support team via the chat window at the bottom right corner. Alternatively, feel free to email us via our support email: firstname.lastname@example.org. Our team is available 24/7 to respond to your queries and guide you though where need be.
Swift Delivery & 100% Money Back Guarantee
Simply choose the desired deadline when placing the order. The task is assigned to the most qualified writer as soon as the order is successfully placed. All the papers are delivered to you within the deadline selected. In case a paper cannot be delivered within the deadline selected, we request for a deadline extension within the shortest time possible.
Free Unlimited Revisions
Our customers can always request for a revision in case they feel that something needs to be added or changed after the final paper has been delivered. We do not charge for revisions. However, we highly discourage our customers from misusing this policy.
Try it now!
How it works?
Follow these simple steps to get your paper done
Place your order
Fill in the order form and provide all details of your assignment.
Proceed with the payment
Choose the payment system that suits you most.
Receive the final file
Once your paper is ready, we will email it to you.
Mymasterpapers.com specializes in custom essay writing for all level of students. Simply relax as we get your paper done within the timeline indicated.
Our team of skilled writers and researchers is readily available to get any type of academic paper completed. We deliver high quality papers and projects to our customers to ensure that we maintain a long-term relationship that will shine your academic career.
Admission Essays & Professional Writing
An admission essay allows you to express yourself by providing personal details that wouldn’t have fit on other areas of an application. We have a team of experienced writers who will get you to the desired academic level through a professional and a personalized admission essay.
Editing & proofreading
Are you seeking for editing or proofreading help? We have a team of editors who will ensure that any issue within you paper has been addressed. Upload the paper to be cleaned up and relax as we get the job done.
At mymasterpapers.com, you can always ask for revision in case you want some changes in you paper. We focus on ensuring that the grammar, research and formatting are done as per the latest academic writing standards.