Europe Options

A
AA
AB
AQ
AU
AY
TOTAL

November December January February March April May June July

80
0
60
90
21
48
0
9
20
400
255
408
645
210
87
432
816
430
20572
20895 19252
11052 19864 20316 13336 10578 6096
4008
2196
4761
1953 1008 2358 1676
540 2310
4564
3207
7485
4908 5295
90
0 5004 4385
248
450
378
306
219
204
248
484
164
29872
27003 32344
18954 26617 23103 15692 17431 13405

Asian-Pacific Options
A
AB
AG
AK
AU
TOTAL

November December January February March April May June July

0
66
39
1002 1002
6
0
104
0
216
255
495
156
156
506
336
0
324
342
684
519
586
586 1059 1186 2409
636
30
24
0
15
15
30
15
33
81
333
219
69
39
39
334 2067
245
645
921
1248
1122
1798 1798 1935 3604 2791 1686

Asian-Pacific Options
A
AB
AG
AK
AU
TOTAL

November December January February March April May June July

20208
16188 22336
36474 26528 32964 36008 16604 27300
4
0
44
0
69
135
330
330
266
73
9
85
0
0
0
3
0
0
53
19
45
6
63
3
3
0
0
0
0
15
0
6
0
0
6
0
20338
16216 22525
36480 26666 33102 36344 16940 27566

August September October

54
84
42
630
456
273
14496
23712
9792
2046
1797
2961
5103
4302
6153
363
384
234
22692
30735
19455

Mean
Std. Deviation
42.33333333
32.41305386
420.1666667
203.9268288
15830.08333
5624.578602
2301.166667
1168.493345
4208
2204.583119
306.8333333
103.122904
23108.58333
6243.960157

August September October Mean

Std. Deviation
72
60
0 195.9166667
378.143902
420
144
1016 335.3333333
262.7298417
1761
620
844
936
600.1160494
18
72
36
30.75
23.66095748
168
792
312
438.5
561.8308545
2439
1688
2208
1936.5
748.8474174
August September October
19968
28444
34164
185
99
294
3
3
0
0
0
2
4
1
0
20160
28547
34460

Mean
Std. Deviation
26432.16667
7377.058909
146.3333333
130.3821888
14.66666667
30.27249977
16.16666667
23.52110593
2.666666667
4.559372631
26612
7384.117218

Retail Printer - Technolo

Market Share

Laser
40%

0.294964

Impact/Dot Matrix
Inkjet
Laser

40
20
40

rinter - Technology Segment

Market Share

Laser
40%

Impact/Dot
Matrix
40%
Inkjet
20%

EOQ
Inventory Holding Costs ($/unit)

36

Ordering Costs ($)

50

Service Level (z)

Lead Time (Ocean - Europe) Months
Lead Time (Ocean - Asia) Months
Lead Time (Air) Months
Months of Inventory

2.33
1
1.25
0.25
3.5

Assumptions
$100 per unit
Cost and Average
Holding Cost
Assumed to be
$50 per Order
98%

1 Week

EOQ + Safety S

Europe Options
A
AA
AB
AQ
AU
AY
TOTAL

Mean
42.33
420.17
15830.08
2301.17
4208.00
306.83
23108.58333

Std. Deviation
32.41
203.93
5624.58
1168.49
2204.58
103.12
6243.960157

AVERAGE
DEMAND
DURING
LEAD TIME

42.33
420.17
15830.08
2301.17
4208.00
306.83
23108.58

SAFETY
STOCK
(SS)

75.52
475.15
13105.27
2722.59
5136.68
240.28
14548.43

EOQ + Safety S

Asian-Pacific Options
A
AB
AG
AK
AU
TOTAL
Asian-Pacific Options
A
AB
AG
AK
AU
TOTAL

Mean
195.92
335.33
936.00
30.75
438.50
1936.50

Std. Deviation
378.14
262.73
600.12
23.66
561.83
748.85

Mean
26432.17
146.33
14.67
16.17
2.67
26612.00

Std. Deviation
7377.06
130.38
30.27
23.52
4.56
7384.12

AVERAGE
DEMAND
DURING
LEAD TIME

244.90
419.17
1170.00
38.44
548.13
2420.63

SAFETY
STOCK
(SS)

985.07
684.42
1563.31
61.64
1463.58
1950.76

EOQ + Safety Stock Estimation

REORDER
POINT
(s)

117.86
895.32
28935.35
5023.76
9344.68
547.11
37657.01

Economic
ORDER
QUANTITY
(Q)

ORDER
UPTO
LEVEL
(S)

10.84
128.70
34.16
929.48
209.70 29145.05
79.95 5103.71
108.12 9452.79
29.19
576.30
253.36 37910.37

Lead Time Reduction to 1 Week (0.25 mo

AVERAGE
INVENTORY

80.94
492.23
13210.12
2762.56
5190.74
254.87
14675.11

Inventory Months

0.951657926
Improvement

73%

AVERAGE
DEMAND
DURING
LEAD TIME

10.58
105.04
3957.52
575.29
1052.00
76.71
5777.15

EOQ + Safety Stock Estimation

REORDER
POINT
(s)

1229.97
1103.58
2733.31
100.07
2011.71
4371.39

Economic
ORDER
QUANTITY
(Q)

23.33
30.52
50.99
9.24
34.90
73.34

SAFETY
STOCK
(SS)

REORDER
POINT
(s)

37.76
48.34
237.57
342.62
6552.63 10510.15
1361.29 1936.59
2568.34 3620.34
120.14
196.85
7274.21 13051.36

Economic
ORDER
QUANTITY
(Q)

10.84
34.16
209.70
79.95
108.12
29.19
253.36

Lead Time Reduction to 1 Week (0.25 mo

ORDER
UPTO
LEVEL
(S)

AVERAGE
INVENTORY

1253.30
1134.10
2784.30
109.32
2046.61
4444.73

996.74
699.68
1588.81
66.26
1481.03
1987.43

Inventory Months

2.495
Improvement

29%

AVERAGE
DEMAND
DURING
LEAD TIME

48.98
83.83
234.00
7.69
109.63
484.13

SAFETY
STOCK
(SS)

440.54
306.08
699.14
27.57
654.53
872.41

REORDER
POINT
(s)

489.52
389.91
933.14
35.25
764.16
1356.53

Economic
ORDER
QUANTITY
(Q)

23.33
30.52
50.99
9.24
34.90
73.34

0.480935

Europe Options
A
AA
Postponement
Postponement
Improvement
Improvement
AB
AQ
Inventory
Inventory
Months
Months
AU
AY
0.63505 0.320266

Improvement

Improvement Improvement

tion to 1 Week (0.25 months)

ORDER
UPTO
LEVEL
(S)

59.19
376.78
10719.85
2016.54
3728.45
226.04
13304.72

AVERAGE
INVENTORY

43.18
254.66
6657.48
1401.27
2622.40
134.74
7400.89

Inventory
Months

86%

tion to 1 Week (0.25 months)

ORDER
UPTO
LEVEL
(S)

512.85
420.43
984.13
44.49
799.06
1429.88

AVERAGE
INVENTORY

452.20
321.34
724.63
32.19
671.98
909.08

82%

91%

Postponement
Postponement
Improvement
Improvement
Inventory
Months

Inventory
Months

Inventory
Months

1.137

0.821041 0.375555

Improvement

Improvement Improvement

68%

77%

89%

Mean
42.33
420.17
15830.08
2301.17
4208.00
306.83

pe Options

Mean
42.33
420.17
15830.08
2301.17
4208.00
306.83

Std. Deviation
32.41
203.93
5624.58
1168.49
2204.58
103.12

AVERAGE
DEMAND
DURING
LEAD TIME

42.33
420.17
15830.08
2301.17
4208.00
306.83

SAFETY
STOCK
(SS)

75.52
475.15
13105.27
2722.59
5136.68
240.28

REORDER
POINT
(s)

117.86
895.32
28935.35
5023.76
9344.68
547.11

Economic
ORDER
QUANTITY
(Q)

ORDER
UPTO
LEVEL
(S)

10.84
128.70
34.16
929.48
209.70 29145.05
79.95 5103.71
108.12 9452.79
29.19
576.30

AVERAGE
INVENTORY

80.94
492.23
13210.12
2762.56
5190.74
254.87

Inve
Mo

0.9516

Impro

73

ORDER
UPTO
LEVEL
(S)

128.70
929.48
29145.05
5103.71
9452.79
576.30

AVERAGE
INVENTORY

80.94
492.23
13210.12
2762.56
5190.74
254.87

Inventory
Months

0.951657926
Improvement

73%