Parts Emporium Case Study.docx - Running head PARTS EMPORIUM CASE STUDY Parts Emporium Case Study Name Institution Affiliate Course Date 1 PARTS

Parts Emporium Case Study.docx - Running head PARTS...

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Running head: PARTS EMPORIUM CASE STUDY 1 Parts Emporium Case Study Name Institution Affiliate Course Date
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PARTS EMPORIUM CASE STUDY 2 Summary Emporium Parts Inc. is a wholesale distributor of automobile parts. The company specializes in distributing two parts; Dan Blocks and Ed Springs. In recent days the company has been experiencing inventory problem; to solve this challenge, the company employed Sue McCaskey’s. Sue will be responsible for material management for two main parts; EG151 exhaust gasket and DB032 drive belt. As a manager, Sue will be required to offer a solution to the following issues; Sale stagnation, inventory management problem, backorders from the customers, and reduce the lost capacity at the new warehouse. To solve the issues mentioned above, Sue must come up with inventory statistics that will help the company to know amount of products that will be economical to order. Analysis of the Case Problem As the first manager, Sue will be required to carry out the review for the two products; EG151 Exhaust gasket and DB032 drive. The suitable analysis technique will be use of Economic Order Quantity (EOQ). The result of the analysis will help the manager to come up with effective control methods that will help the company eliminate backorders and reducing the cost of maintaining the inventory. In recent days the company has been suffering from lost sales due to poor inventory
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  • Spring '17
  • HERICK ONDIGO

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