In a Q system, the demand rate for strawberry ice cream is normally distributed, with an average of 300 pints per week. The lead time is 9 weeks. The standard deviation of weekly demand is 15 pints. a. What is the standard deviation of demand during the 9-week lead time? b. What is the average demand during the 9-week lead time? c. What reorder point results in a cycle-service level of 99 percent?

Purchasing and Supply Chain Management
6th Edition
ISBN:9781285869681
Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Chapter16: Lean Supply Chain Management
Section: Chapter Questions
Problem 10DQ: The chapter presented various approaches for the control of inventory investment. Discuss three...
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In a Q system, the demand rate for strawberry ice cream is normally distributed, with an average of 300 pints per week. The lead time is 9 weeks. The standard deviation of weekly demand is 15 pints.
a. What is the standard deviation of demand during the 9-week lead time?
b. What is the average demand during the 9-week lead time?
c. What reorder point results in a cycle-service level of 99 percent?

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