Introduction Company BB is engaged in production and selling of bagels. It is one of the top successful firms with over 450 shops in the industry. Many stores of company BB generate an average of $800,000 annual sales. The production of bagels is done is batches and according to flavor. The production begins at the processing floor where the ingredients are mixed in a special machine. They are loaded into another truck after they are formed and transported to the store. Finals steps of boiling and malting are done at the store which is shown in the figure. Quality is a main feature of a successful business and the customers give high preference to quality, taste and consistency. Company BB gives high importance to quality at each stage of its operation. The employees are instructed to conduct a manual check to identify deformed bagels. The company operates with minimum amount of inventory of partially completed bagels at the plant. It gives high freshness to the product and also allows keeping the cost low with less space. To list: The benefits and risks of maintaining little inventory either in plants or retail stores.

Question

Want to see the full answer?

Answer 1

Question

Chapter 12, Problem 1OTQ

Summary Introduction

Introduction

Company BB is engaged in production and selling of bagels. It is one of the top successful firms with over 450 shops in the industry. Many stores of company BB generate an average of $800,000 annual sales.

The production of bagels is done is batches and according to flavor. The production begins at the processing floor where the ingredients are mixed in a special machine. They are loaded into another truck after they are formed and transported to the store. Finals steps of boiling and malting are done at the store which is shown in the figure.

Quality is a main feature of a successful business and the customers give high preference to quality, taste and consistency. Company BB gives high importance to quality at each stage of its operation. The employees are instructed to conduct a manual check to identify deformed bagels.

The company operates with minimum amount of inventory of partially completed bagels at the plant. It gives high freshness to the product and also allows keeping the cost low with less space.

To list: The benefits and risks of maintaining little inventory either in plants or retail stores.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

Question 1M&H company ltd. sells television sets and has collected monthly sales data (in units) for the past 12months as shown in table 1below: TABLE 1 Month Sales (Units)1 1202 1353 1504 1655 1806 2007 1958 2109 225 10 24011 25512 270 Using the data provided, answer the following questions: a. Using a 3-month weighted moving average with weights 0.5, 0.3, and 0.2 (most recent monthhaving the highest weight), calculate the forecast for month 13. b. If the company applies an exponential smoothing method with a smoothing constant (α) = 0.2,and assumes an initial forecast of 120 units for Month 1, calculate the forecast for month 13.c. Calculate the Mean Absolute Deviation (MAD) for the exponential smoothing method andweighted moving average method using the actual sales data for Months 4 to 12 and determinewhich method is more accurate. d. Compute the values of a (intercept) and b (slope) using the least squares method.e. Use the trend equation to forecast the demand for…

You may need to use the appropriate technology to answer this question. An event hall that hosts public lectures, book readings, poetry slams, and other similar events uses a one-week periodic review inventory system for the throat lozenges that it stocks for its patrons. A two-day lead time is needed for any order, and the event hall is willing to tolerate an average of one stock-out per year. (a) Using the event hall's service guideline, what is the probability of a stock-out associated with each replenishment decision? (Round your answer to four decimal places.) (b) What is the replenishment level if demand during the review period plus lead-time period is normally distributed with a mean of 50 units and a standard deviation of 12 units? (Round your answer to the nearest integer.) (c) What is the replenishment level if demand during the review period plus lead-time period is uniformly distributed between 45 and 95 units? (Round your answer to the nearest integer.)

provide scholarly research on the importance of internal risk assessement and auditng process in relation to US bank Cititbank loosing USD500 million in August 2020