?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 60 (and was normally distributed).
Furthermore, the standard deviation for BX-5 was 5. Ms. Flynn would like to maintain a 95% service level. Refer to the standard normal table for z-values.
|
Z
|
Pr(Z)
|
|
0.38
|
65
|
|
0.50
|
69
|
|
0.67
|
75
|
|
0.84
|
80
|
|
1.04
|
85
|
|
1.28
|
90
|
|
1.41
|
92
|
|
1.56
|
94
|
|
1.66
|
95
|
|
1.75
|
96
|
|
2.06
|
98
|
|
2.33
|
99
|
a) What safety stock level do you recommend for? BX-5?
Safety stock? =_______ units ?(round your response to the nearest whole? number).
?b) What is the appropriate reorder? point?
Reorder Point? =________ units ?(round your response to the nearest whole? number)
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