Continuous Review Total Weeks Carrying Cost Ordering Cost Avg Demand SD Demand Lead Time SD Lead Time

Annual Demand H= S= d= sd = LT = sLT = D=

52 300 53 49 2.8 1 0.18 2548 Unit Rs /unit/Year Rs /Order Units per week Units in weeks Weeks Weeks Per year = 24*52

So,

EOQ EOQ = No of orders No = SD of Lead Time Demand sdLT = Safety Stock SS= Reorder Point R= Cost Details Ordering cost Holding cost Safety cost Total Annual cost Transportation cost Total Logistic Cost For 40 showrooms

30.00 84.92 9.25 21.47 70.47

units per year units

Z 2.32

80 40

4501 4501 6441 15442 203840 219282 8771284

Continuous Review Total Weeks Carrying Cost Ordering Cost Avg Demand SD Demand Lead Time SD Lead Time Annual Demand H= S= d= sd = LT = sLT = D=

52 300 53 49 2.8 0.5 0.08 2548 Unit Rs /unit/Year Rs /Order Units per week Units in weeks Weeks Weeks Per year = 24*52

So,

EOQ EOQ = No of orders No = SD of Lead Time Demand sdLT = Safety Stock SS= Reorder Point R= Cost Details Ordering cost Holding cost Safety cost Total Annual cost Transportation cost Total Logistic Cost For 40 showrooms

30.00 84.92 4.39 10.19 34.69

units per year units Z 2.32

10 40

4501 4501 3057 12058 25480 37538 1501522

Periodic Review Total Weeks Carrying Cost Ordering Cost Avg Demand SD Demand Lead Time SD Lead Time Annual Demand H= S= d= sd = LT = sLT = D=

52 300 53 1960 17.71 1 0.12 101920 Unit Rs /unit/Year Rs /Order units per week units in weeks Weeks Weeks Per year = 480*50

40

So,

Review Period No of orders SD of Lead Time Demand Safety Stock Order upto Level Cost Details Ordering cost Holding cost Safety cost Total Annual cost Transportation cost Total Logistic Cost

P= No = sP+L = SS= T=

1 52.00 236.53 548.75 4468.75

Week Given per year units units units

Z 2.32

40

2756 294000 164625 461381 4076800 4538181

case B RW cost

1501522 6039702 240000 6279702

Week Demand 1 47 2 49 3 47 4 50 5 47 6 44 7 52 8 48 9 52 10 49 11 48 12 50 13 54 14 47 15 45 16 55 17 47 18 52 19 45 20 51 21 52 22 49 23 46 24 49 25 48 26 51 Mean STDV 49.00 2.8

Lead time

Days 7 6 8 9 7 9 8 9 7 7 9 7 6 6 8 7 6 6 5 6 5 6

week 1.00 0.86 1.14 1.29 1.00 1.29 1.14 1.29 1.00 1.00 1.29 1.00 0.86 0.86 1.14 1.00 0.86 0.86 0.71 0.86 0.71 0.86

5 6 7 8 9

0.71 0.86 1.00 1.14 1.29

2 7 6 3 4

Mean STDV

7.00 1.27

1.00 0.18