Supply Chain Management Case: Dumala Electronic Supply

The Case. The goal of this case study was to gain a pass understanding and application skills of supply chain management. This case evaluated match chronicle models, Fixed-Order-Period stemma model and Perpetual stocktaking model, to present back equal-based analysis of the companys stock-take policies. Data. We have been inclined the periodic subscribe and the lead succession (3 weeks) for the typical DES product. thither is slightly variation in the each week demand provided thither is no particular wild variation. We have in any case been given a number of inventory-related salute factors: equal/ unit of measurement, honk cost, measure rate and capital investment ($235, 000.00). Additional entropy is also given on assistant level (98.5%), the proportionality of cost savings, and depreciation over an 8-year horizon. We assumed that: (1) order cost is frozen(p) for any order measurement, (2) fixed cost associated with safekeeping inventory and shippi ng cost are insignificant, and (3) weekly demand is constant. Analysis. Fixed-Order-Period Inventory samples We evaluate the cost trade-offs involved in Fixed-Order-Period Inventory position for increasing space of order cycles (in the range of three by eight weeks ages). In these models, we assumed that inventory is counted only at the time specified for review. The service level defines the amount of gumshoe behave that we should hold. The Z value is 2.17 at 98.5% (Normal Table lever for this service level one-tailed).

Here, the demand is randomly distributed about a mean The quantity is a product of ave rage weekly demand and the length of the ord! er cycle. Exhibit 1 shows the reckoning of the wide-cut Cost.                           Total Cost = Ordering Cost + dimension Cost                           Ordering cost= 2580(given)*number of orders/yr                            attribute cost= [(order size)/2 + Safety stock]*holding cost/unit We find that for the Fixed-Order-Period Inventory model, Total Cost is minify when the duration of the ordering... If you want to get a full essay, order it on our website: OrderCustomPaper.com

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