problem set F

Problem set F - Raleigh Utilization 0.667 0.733333 CV service 0.4 0.18 CV Arrival 0.33 0.33 Avg Wait time 2.71"=10(B4(1-B4(B5^2 B6^2/2"

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Problem Set F Michael Schoenfeld a.) Model AZS-1050 AZS-2000 AZS-3000 Week Demand 200 180 Stand Dev 120 140 Procurement cost 170 175 180 lead time 1 Review Time 1 z for 98% 2.054 saftery stock azs 1050 348.6 349.0 saftery stock azs 2000 406.7 407.0 b.) azs 3000 535.6 536.0 c.) Both Together $528,673 Cost of 3000 $374,932 Savings of 3000 $153,740 d.) Procurement cost 1050 $1,768,000 2000 $1,638,000 total for the two $3,406,000 3000 $3,556,800 Added cost of 3000 $150,800 The total savings for using the 3000 is 153740-150800, which equals 2,940$ This means the best option is to use model AZS-3000 for both series.
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Problem 2 Michael Schoenfeld
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Unformatted text preview: Raleigh Utilization 0.667 0.733333 CV service 0.4 0.18 CV Arrival 0.33 0.33 Avg Wait time: 2.71 "=10*(B4/(1-B4))*((B5^2+B6^2)/2)" Avg customers in office 1.18 "=(4)*((A9+15)/60)" Avg Wait time Raleigh 1.98 "=10*(D4/(1-D4))*((D5^2+D6^2)/2)" Standard Deviation makes a very large difference when it comes to wait times. The more consistent your worker is and the lower the standard deviation is the smaller the wait times will be Variability is a huge factor in wait times and standard deviation is part of variability...
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This document was uploaded on 11/04/2011 for the course BUSI 403 at UNC.

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Problem set F - Raleigh Utilization 0.667 0.733333 CV service 0.4 0.18 CV Arrival 0.33 0.33 Avg Wait time 2.71"=10(B4(1-B4(B5^2 B6^2/2"

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