Demand for a Product Is Relatively Constant at Five Units

question 5

Essay

Demand for a product is relatively constant at five units per day.Lead time for this product is normally distributed with a mean of ten days and a standard deviation of three days.
(a)What reorder point provides a 50 percent service level?
(b)What reorder point provides a 90 percent service level?
(c)If the lead time standard deviation can be reduced from 3 days to 1,what reorder point now provides 90 percent service? How much is safety stock reduced by this change?

---

Definitions:

Divorce

refers to the legal process of terminating a marriage, which entails the cancelling or reorganizing of the legal duties and responsibilities of marriage.

Predictors

Variables or factors that are used to forecast or anticipate future events, trends, or outcomes based on current data or patterns.

Social Support

The assistance and comfort received from others, which can be emotional, social, physical, or practical, contributing significantly to an individual's well-being.

Shared Custody

A legal arrangement in which both parents are granted equal or near-equal time and decision-making responsibilities for their child.