SCMA 331-002 Spring 2018 Homework: Chapter 12 Inventory Management Save Score: 0

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SCMA 331-002 Spring 2018 Homework: Chapter 12 Inventory Management Save Score: 0 of 3 pts 7 of 8 (6 complete) HW Score: 65.63%, 15 Problem 12.41 Question Help Barbara Flynn is in charge of maintaining hospital supplies at General Hospital. During the past year, the mean lead time demand for bandage BX-5 was 65 (and was normally distributed). Furthermore, the standard deviation for BX-5 was 8. Ms. Flynn would like to maintain a 90% service level. Refer to the a) What safety stock level do you recommend for BX-5 Safety stock units (round your response to the nearest whole number). nomal table Enter your answer in the answer box and then click Check Answer part remaining Clear All Check Answer

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Mean Demand during Lead Time (Xbar) =65

Stand Deviation of Demand in Lean Time Period (Sigma)= 8

Service Level = 90%

So for this level value of Z= 1.28

So Safety Stock =z*Sigma

=1.28*8= 10.24 =11

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