_CASE PROBLEM 13.2 The Texas Gladiators Apparel Store an estimate of the number of times a customer wanted a The Texas Gladiators won the Super Bowl last year. As a cap when it was not available but did not ask for it.) result, sportswear such as hats, sweatshirts, sweat- pants, and jackets with the Gladiator's logo are popular. The Gladiators operate an apparel store outside the foot- ball stadium. It is near a busy highway, so the store has heavy customer traffic throughout the year, not just on game days. In addition, the stadium has high school or college football and soccer games almost every week in the fall, and baseball games in the spring and summer. The most popular single item the stadium store sells is a red and silver baseball-style cap with the Gladiators' logo on it. The cap has an elastic headband inside it, which Week Demand Week Demand Week Demand 1 38 11 28 21 52 2 51 12 41 22 38 3 25 13 37 23 49 4 60 14 44 24 46 35 15 45 25 47 6 42 16 56 26 41 7 29 17 62 27 39 8 46 18 53 28 50 conforms to different head sizes. However, the store has 9 55 19 46 29 28 had a difficult time keeping the cap in stock, especially during the time between the placement and réceipt of an order. Often customers come to the store just for the hat; when it is not in stock, customers are upset, and the store 10 19 20 41 30 34 The store purchases the hats from a small manufac- management believes they tend to go to other competing turing company in Jamaica. The shipments from Jamaica stores to purchase their Gladiators' clothing. To rectify this problem, the store manager, Jessica James, would like to develop an inventory control policy that would ensure that customers would be able to purchase the cap 99% of the time they asked for it. Jessica has accumu- are erratic, with a lead time of 20 days. In the past, Ms. James has placed an order whenever the stock got down to 150 caps. What level of service does this reorder point correspond to? What would the reorder point and safety stock need to be to achieve the desired service level? Discuss how Jessica James might deter- mine the order size of caps and what additional, if any, information would be needed to determine the order size. lated the following demand data for the cap for a 30-week period. (Demand includes actual sales plus a record of the times a cap has been requested but not available and

_CASE PROBLEM 13.2 The Texas Gladiators Apparel Store an estimate of the number of times a customer wanted a The Texas Gladiators won the Super Bowl last year. As a cap when it was not available but did not ask for it.) result, sportswear such as hats, sweatshirts, sweat- pants, and jackets with the Gladiator's logo are popular. The Gladiators operate an apparel store outside the foot- ball stadium. It is near a busy highway, so the store has heavy customer traffic throughout the year, not just on game days. In addition, the stadium has high school or college football and soccer games almost every week in the fall, and baseball games in the spring and summer. The most popular single item the stadium store sells is a red and silver baseball-style cap with the Gladiators' logo on it. The cap has an elastic headband inside it, which Week Demand Week Demand Week Demand 1 38 11 28 21 52 2 51 12 41 22 38 3 25 13 37 23 49 4 60 14 44 24 46 35 15 45 25 47 6 42 16 56 26 41 7 29 17 62 27 39 8 46 18 53 28 50 conforms to different head sizes. However, the store has 9 55 19 46 29 28 had a difficult time keeping the cap in stock, especially during the time between the placement and réceipt of an order. Often customers come to the store just for the hat; when it is not in stock, customers are upset, and the store 10 19 20 41 30 34 The store purchases the hats from a small manufac- management believes they tend to go to other competing turing company in Jamaica. The shipments from Jamaica stores to purchase their Gladiators' clothing. To rectify this problem, the store manager, Jessica James, would like to develop an inventory control policy that would ensure that customers would be able to purchase the cap 99% of the time they asked for it. Jessica has accumu- are erratic, with a lead time of 20 days. In the past, Ms. James has placed an order whenever the stock got down to 150 caps. What level of service does this reorder point correspond to? What would the reorder point and safety stock need to be to achieve the desired service level? Discuss how Jessica James might deter- mine the order size of caps and what additional, if any, information would be needed to determine the order size. lated the following demand data for the cap for a 30-week period. (Demand includes actual sales plus a record of the times a cap has been requested but not available and

Purchasing and Supply Chain Management

6th Edition

ISBN:9781285869681

Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

ChapterC: Cases

Section: Chapter Questions

Problem 5.1SC: Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing...

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Transcribed Image Text:CASE PROBLEM_13.2 The Texas Gladiators Apparel Store an estimate of the number of times a customer wanted a The Texas Gladiators won the Super Bowl last year. As a cap when it was not available but did not ask for it.) result, sportswear such as hats, sweatshirts, sweat- pants, and jackets with the Gladiator's logo are popular. The Gladiators operate an apparel store outside the foot- ball stadium. It is near a busy highway, so the store has heavy customer traffic throughout the year, not just on game days. In addition, the stadium has high school or college football and soccer games almost every week in the fall, and baseball games in the spring and summer. The most popular single item the stadium store sells is a red and silver baseball-style cap with the Gladiators' logo on it. The cap has an elastic headband inside it, which Week Demand Week Demand Week Demand 1 38 11 28 21 52 2 51 12 41 22 38 25 13 37 23 49 4 60 14 44 24 46 35 15 45 25 47 6 42 16 56 26 41 7 29 17 62 27 39 8. 46 18 53 28 50 conforms to different head sizes. However, the store has 9 55 19 46 29 28 had a difficult time keeping the cap in stock, especially during the time between the placement and réceipt of an order. Often customers come to the store just for the hat; when it is not in stock, customers are upset, and the store 10 19 20 41 30 34 management believes they tend to go to other competing stores to purchase their Gladiators' clothing. To rectify this problem, the store manager, Jessica James, would like to develop an inventory control policy that would ensure that customers would be able to purchase the cap 99% of the time they asked for it. Jessica has accumu- lated the following demand data for the cap for a 30-week period. (Demand includes actual sales plus a record of the times a cap has been requested but not available and The store purchases the hats from a small manufac- turing company in Jamaica. The shipments from Jamaica are erratic, with a lead time of 20 days. In the past, Ms. James has placed an order whenever the stock got down to 150 caps. What level of service does this reorder point correspond to? What would the reorder point and safety stock need to be to achieve the desired service level? Discuss how Jessica James might deter- mine the order size of caps and what additional, if any, information would be needed to determine the order size.

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