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Ex 12-17 Data
Ex 12-17 Data
Inputs
Lead time 8
Target cycle service level 0.95
Printer Costs $200.00
Holding Costs 0.25
Correlation coefficient p 0.20
Demand and Standard Deviation for Epson printers in Europe during Replenishment Lead Time
(8 weeks) Covariance
Mean demand SD of demand
during lead during lead
Country time RL = time sL = France Germany Spain Italy Portugal UK
France ? ? ? ? ? ? ?
Germany ? ? ? ? ? ?
Spain ? ? ? ? ?
Italy ? ? ? ?
Portugal ? ? ?
UK ? ?
Aggregated ? ?
Output
Required Safety Inventory for Epson printers in Europe
Country Safety Inventory ss
France ?
Germany ?
Spain ?
Italy ? Holding Costs savings as a function of
Portugal ? lead time and correlation coefficient
UK ?
Total ? Corr.Coeff. Replenishment Lead Time (Weeks)
Holding Costs ? ? 4 6 8 10 12
0 ? ? ? ? ?
DC ? 0.2 ? ? ? ? ?
Holding Costs ? 0.4 ? ? ? ? ?
0.6 ? ? ? ? ?
Savings (units) ? 0.8 ? ? ? ? ?
Savings ($) ? 1 ? ? ? ? ?