Unformatted text preview: The differences between the independent demand in Mc Donald’s, manufacturer of personal copiers and in a pharmaceutical company is that in case of Mc Donald’s the independent demand is accurately known and then inventorying takes place where as in case of personal copiers and a pharmaceutical company, as estimation of demand is very difficult due to high levels of variance, inventorying is based on experience and assumptions. Reference: Jacobs, F., Chase, R. & Aquilano, N. (2009) Operations & Supply Management. Chapter 17, Pages 549-550 & 574...
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- Summer '10
- Estimation theory, mc Donald, Rupert Murdoch, The Independent