Chris Sandvig Irrigation, Inc., has summarized the price list from four potential suppliers of an underground control valve.See the table below. Annual usage is 700 valves; order cost is $10 per order; and annual inventory holding costs are$7.55 per unit.Vendor AQuantity1-910-1415-4950-99100-299300+Price$35.0034.7533.5532.3531.1530.75Vendor BQuantity1-1415-4950-99100-299300+Price$34.7534.0032.8031.6030.50Vendor CQuantity1-2425-7475-199200+Vendor CVendor BVendor DPrice$34.5033.7532.5031.10Which vendor should be selected and what order quantity is best if Sandvig Irrigation wants to minimize total cost?Chris Sandvig Irrigation should order units at a time from(enter your response as a whole number).Vendor AVendor DQuantity1-7475-199200+Price$34.2533.0031.00

Instructions: EOQ = sqrt (2DS/H) D = Annual demand S = Ordering cost H = Holding cost…

Answered: Chris Sandvig Irrigation, Inc., has…

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 5.1SA

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Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. As the Marketing Manager for Southeastern Corrugated, what would you do upon receiving the request for quotation from Coastal Products?
Bradley Solutions and Alexander Limited are two well-established suppliers of inexpensive tools. Meanwhile, Weekend Projects is a national chain of retail outlets and wants to find a supplier for a particular tool set that promises to be a big seller. Expected annual sales are 100,000 units (D). Weekend's warehouses operate 50 weeks a year. Management collected data on the two suppliers, which are contained in the table below: Annual Freight Costs Shipping Quantity (Q) Annual Lead Annual Supplier 20,000 40,000 Price/unit(p) Administrative Holding Cost/Unit(H) (L)(wks) $1.5 $1.8 Time Cost Bradley $30,000 $20,000 Alexander $25,000 $22,000 $6 $5 $20,000 $30,000 4 What is the total annual cost for Weekend Projects if the company chooses Alexander as the supplier and determines the shipping quantity at 40,000 units per shipment? $608,600 O $609,600 $606,600 O $607,600
Specific individual firm measures in supply chains are the following EXCEPT Question 46 options: unit cost. supplier turnover. flexibility. on-time delivery.
Q1: You are a distribution center manager; you understand distribution facilities would provide a variety of services according to the requirements of the supply chain. Your manager requested you to do the training for your team, it should discuss the primary functions of DC, what are they? Q2: When goods need to be transported, the supply chain manager can choose from five modes of transportation: truck, rail, air, water and pipeline. What are the main functions, advantages and disadvantages of each basic mode? Giving goods example under each mode.
The supply chain manager for Keskin Industries, SeanWillems, has developed the data shown in Table S 11.3 for twovendors. Based on the weights and rankings shown, which is thepreferred vendor?
Alison's Accessories is a high volume worldwide fashion house with outlets in 65 countries. Sadly, space does not permit an exhaustive list but once the test is over, check out their website. Kalil, the supply chain manager is conducting her usual thorough analysis of her final four candidates for supplier and has developed the following tables of pertinent costs and other shipping metrics. Regardless of supplier, Alison's Accessories will operate 220 days per year and has forecast annual demand of 250,000 units. Kalil has obtained quotes for three different shipment sizes (Freight Costs table). All costs are in US Dollars. Table 1 Unit costs Supplier Price/Unit Carrying Cost A 123 22 B 125 19 C 126 18 D 100 40 Annual Freight Costs Supplier 15,000 units 25,000 units 50,000 units A 380,000 260,000 237,000 B 615,000 547,000 470,000 C 285,000 240,000 200,000 D 380,000 260,000 237,000 Other Costs Supplier Lead Time Annual Admin Costs A 30 250,000 B 15 275,000 C 7 225,000 D 90…
Great American Inc. (GA), a California based construction company, has been buying wooden floor plate from Davidson Supply (DS) for the last 3 years. Mr. Gordon Shuttle, the GA Purchasing Director, so far, is satisfied with DS services, including product quality and on-time delivery services. Due to the keen competition in the industry in recent year, GA management decided to review DS’s overall supply performance.a) What kinds of challenges that GA should consider? b) If GA decides not to use DS’s supply in future, what will be GA’s otheroptions? c) What kinds of risks GA may face if taking such options?
Describe the text’s four external and internal pressures on supply chain design as they relate to Crayola’s supply chains for ColorWonder® and Washable Deluxe Painting Kit®. 2) Review the strategic implications of supply chains as described in the text. Does Crayola have efficient or responsive supply chains or both? Explain your position. 3) Regarding the design of the Washable Deluxe Painting Kit® supply chain, Crayola must evaluate the strategy of next-shoring in Asia or retaining an existing network that involves the assembly of the kits in the United States. Compare and contrast these two supply chain designs from the perspective of the decision factors and pitfalls for outsourcing discussed in the text
link of PDF : https://docdro.id/psUSO2n https://docdro.id/KV8USNQ question : 1/. According to Simpson and et.al, why should we measure the performance of our suppliers?
Jordan Airline routinely overbooks its flights from Dallas to Florida. Overbooking discounted seats can be expensive because providing a bumped passenger with a last-minute flight on a competing carrier can cost $2,200. A 150-passenger jet costs about $150,000 to operate from Raleigh to Atlanta. The average ticket price is $2,000. Table. The frequency of no-shows NO-SHOWS FREQUENCY 1 15 2 10 3 10 4 5 5 5 6 5 a. how many seats should be overbooked? (show your calculations) b. Korean Airline increased the average ticket price from $2,000 to $3,000 on its Atlanta/Seoul route for the holidays. How would the increased ticket price affect the number of seats overbooked? (show your calculations)
Demand of Hairdryer from January to July Month Demand January 2800 February 2870 March 2968 April 3000 May 3100 Jun 3150 July 3400 a). Calculate forecast future demand for May, June, July and August by using 3 months simple moving average. b) Determine TWO (2) consequences if the company produce supply more than the customer demand. c) In your opinion, provide ONE (1) perspective you will look into supplier before made a decision to select a supplier.
Sustainable related risks in supply chain includes: 1. Impact of providing goods and services to customers II. Risk of customers buying non-sustainable product III. Interference with consumer company's supply chain IV. Supplier sourcing raw materials that have a negative impact on the environment O I, III O I, IV O IV, II O I, II, III, IV

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