Supply Chain Management Case: Dumala Electronic Supply

The Case. The goal of this case study was to gain a improvement understanding and application skills of supply chain management. This case evaluated twain chronicle models, Fixed-Order-Period stemma model and Perpetual scrutinise model, to fall in back equal-based analysis of the companys enrolment policies. Data. We have been inclined the hebdomadally subscribe and the lead succession (3 weeks) for the typical DES product. in that respect is slightly variation in the periodical demand except thither is no particular wild variation. We have likewise been given a number of inventory-related salute factors: speak to/whole, err 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 shipp ing 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 ideal for increasing space of order cycles (in the range of three by eight weeks eons). In these models, we assumed that inventory is counted only at the time specified for review. The service level defines the amount of golosh behave that we should hold. The Z value is 2.17 at 98.5% (Normal Table look upon for this service level one-tailed).

Here, the demand is randomly distributed about a mean The quantity is a product of av erage weekly demand and the length of the or! der cycle. Exhibit 1 shows the computing of the wide-cut Cost.                           Total Cost = Ordering Cost + place Cost                           Ordering cost= 2580(given)*number of orders/yr                            keeping 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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