Determine the delivery times of two raw material suppliers


Assignment:

A firm is studying the delivery times of two raw material suppliers. The firm is basically uoplier A and is prepared to stay with that supplier if the mean delivery time is AB. However, if the firm finds that the mean delivery time of suppier the same as B is less supplier A, it will begin making raw material purchases from supplier B

Supplier A       Supplier B

n1-15 ,           n2 = 10

x1 14 days      x2 = 12.5 days

s1= 3 days      s2= 2 days

What are the alternative hypotheses for this situation?

Assume the conditions necessary to carry out the test in (a) are met. What is your

(b) Critical value

(c) Test Statistics

(d) P-value

(e) Decision for the hypotheses (circle one)

(f) What action do you recommend in terms of supplier selection? (circler one below)

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Operation Management: Determine the delivery times of two raw material suppliers
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