
Practical Operations Management
2nd Edition
ISBN: 9781939297136
Author: Simpson
Publisher: HERCHER PUBLISHING,INCORPORATED
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Chapter 10, Problem 3.1Q
Summary Introduction
Case Summary:
D pet clinic has two veterans and two full-time employees with one manager. The pet clinic deals with pharmaceuticals, cleaning supplies, etc. In pharmaceuticals, it majorly has three drugs that are purchased from a supplier which charges a flat fee of $15 on any item purchased. The new manager believes that the clinic is not optimally utilizing ordering cost as a combination of drugs are not ordered. Frequent orders are made which might have increased ordering cost. Order cost and holding cost for the supplies.
Interpretation: Order and holding cost for supply.
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Chapter 10 Solutions
Practical Operations Management
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