Operations Management: Processes and Supply Chains (12th Edition) (What's New in Operations Management)
12th Edition
ISBN: 9780134741062
Author: Lee J. Krajewski, Manoj K. Malhotra, Larry P. Ritzman
Publisher: PEARSON
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Chapter 12, Problem 1P
EBI Solar uses a high-tech process to turn silicon wafers into tiny solar panels. These efficient and inexpensive panels are used to power low-energy, handheld electronic devices. Last year, EBI Solar turned their inventory 4.5 times and had a cost of goods sold of $2.5 million. Assuming 52 business weeks per year:
- Express last year’s average inventory in weeks of supply.
- After several supply chain improvement initiatives, inventory investment has dropped across all inventory categories. While EBI’s cost of goods sold is not expected to change from last year’s level, the value of raw materials has dropped to $100,500; work-in-process to $25,800; amid finished goods to $16,200. Assuming 52 business weeks per year, express EBI’s current total inventory level in weeks of supply and inventory turns.
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Hi please help me please,
Read the screenshot and answer the following questions:
1. Dawn understands her customers very well. She knows that they want two things: (1) speed in getting the sandwich, no matter what type and (2) the sandwich must taste fresh. As Dawn works out how to improve her inventory management process, how can she utilize the ABC inventory classification system as part of the remedy for this situation?
• Think outside the box. Consider which type of inventory she really needs to classify using the ABC classification system.
2. As we examine this case, we know that the basic issue is low inventory turnover. Consequently, the bins are overstocked during specific times and items must be discarded because they exceed the freshness quality time limit. As she considers this point, Dawn is debating if she needs to use the EOQ model or the EMQ model. Provide a recommendation to Dawn on which model would be the most effective for her situation. Explain why your choice is…
Arrow Distributing Corp. likes to track inventory by using weeks of supply as well as by inventory turnover.
Arrow Distributing Corp.
Net Revenue
$15,630
Cost of sales
$12,190
Inventory
$1,090
Total assets
$8,770
a) What is its weeks of supply?
weeks (round your response to two decimal places).
b) What is Arrow's inventory turnover?
times per year (round your response to two decimal places).
c) Suppose a manufacturer has an inventory turnover of 13.5 times per year. Arrow's supply chain performance relative to the manufacturer's, as measured by inventory turnover, is
The grocery industry has an annual inventoryturnover of about 14 times. Organic Grocers, Inc. had a costof goods sold last year of $10.5 million; its average inventory was $1.0 million. What was Organic Grocers’ inventoryturnover, and how does that performance compare with thatof the industry?
Chapter 12 Solutions
Operations Management: Processes and Supply Chains (12th Edition) (What's New in Operations Management)
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Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, operations-management and related others by exploring similar questions and additional content below.Similar questions
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