What is the annual inventory cost of the current system in
which product is produced, la...
Business, 05.03.2020 07:20 lucywood2024
What is the annual inventory cost of the current system in
which product is produced, labeled, and packed in Malaysia
before being shipped to the DC?
2. How would the inventory cost change if labeling and packaging
were moved to the DC? Evaluate the change in
inventory costs as the correlation coefficient of demand
between any pair of customers varies from 0 to 0.5 to 1.0.
3. How should PE set up its production, labeling, and packaging
processes? Does your answer change if the additional
cost of labeling and packaging at the DC is reduced
to $1 (from the current value of $2)?
Answers: 2
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