11-8Epson-1 - Epson_case study

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CR - 05/31/2010 17:04:02 Page 1 c8ae6166beff9ed265bdaec74e2a0770ce03ca46.xls - VALUES Excersise 11-8: Epson Inputs Weekly demand for Epson printers in Europe Country Mean Demand France 3,000 2,000 Germany 4,000 2,200 Spain 2,000 1,400 Italy 2,500 1,600 Portugal 1,000 800 UK 4,000 2,400 8 Expedited lead time, L* 4 Target cycle service level 0.95 Printer Costs $200.00 Holding Costs 0.25 Additional Production Cost $5.00 Demand and Standard Deviation for Epson printers in Europe during Replenishment Lead Time (8 weeks) (4 weeks) Country France 24,000 5,657 12,000 4,000 Germany 32,000 6,223 16,000 4,400 Spain 16,000 3,960 8,000 2,800 Italy 20,000 4,525 10,000 3,200 Portugal 8,000 2,263 4,000 1,600 UK 32,000 6,788 16,000 4,800 Aggregated 132,000 12,573 66,000 8,890 Output Required Safety Inventory for Epson printers in Europe Country Safety Inventory ss Safety Inventory ss* France 9,305 6,579 Germany 10,235 7,237 Spain 6,513 4,606 Italy 7,444 5,264 Savings from Portugal 3,722 2,632 shorter lead time
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11-8Epson-1 - Epson_case study

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