The store manager has decided to maintain a 95 service, Operation Management

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The store manager has decided to maintain a 95 service

Assuming the sales of Hudson Valley Model Y ceiling fan have a mean daily demand of 16 fans with a standard deviation of 3 fans. If the store orders directly from the manufacturer, the fans take, on average, 9 days to arrive with a standard deviation in lead time of 2 days. The store manager has decided to maintain a 95% service level. What is the reorder point and safety stock?

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Operation Management: The store manager has decided to maintain a 95 service

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