Class 11-1 - Aug 11 2015 - COMM 399-972 Logistics and Operations Management Class 11-1 Supply Chain Management HP Case and Postponement 1 Selling HP

Class 11-1 - Aug 11 2015 - COMM 399-972 Logistics and...

This preview shows page 1 - 5 out of 10 pages.

1 COMM 399-972 Logistics and Operations Management Class 11-1: Supply Chain Management - HP Case and Postponement Aug 11, 2015 1 Selling HP Deskjet in Europe 2
2 HP Deskjet Case: Background Manufacturing in Vancouver WA 3 DC’s: North America, Asia, Europe simple standardized process Transportation lead times US: 1 day 3 HP Deskjet Case: Analysis What are HP’s options? 4 Problem (Europe) Causes
3 HP Deskjet Case: Options 5 Short Term Options Long Term Options Advantages, disadvantages of each options? HP Deskjet Case: Short Term Option - Safety Stock Rationalization Monthly Demand 6 BRAND Monthly Demand Mean Standard Dev A 42.3 32.4 AB 15830.1 5624.6 AU 4208.0 2204.6 AA 420.2 203.9 AQ 2301.2 1168.5 AY 306.8 103.1
4 7 Annual Inventory Cost Annual Transport Cost Annual Purchasing Cost Annual Holding Cost = + + Annual Setup Cost = C*D = H * Total AVG Inventory (Q,r): = i C * ( ாைொ + ࠵?࠵? ௅் + ࠵? ∗ ࠵?࠵?) or (R,T):= i C * ( ்∗஽ + ࠵?࠵? ௅்ା் + ࠵? ∗ ࠵?࠵?) (Q,r) = S* ; (R,T) = S* ; Variable cost included in C Annual Total Supply Chain Cost Variable cost included in C Fixed cost included in S In HP case, S=0,

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture