Q2. A warehouse facilitates the reduction of the order cycle time of raw materials or consumer...

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Operations Management

Q2. A warehouse facilitates the reduction of the order cycletime of raw materials or consumer goods required for a factory orretail outlet respectively.

Please explain how this is achieved. (30marks)


- Reduce travel time.

- Shift resources around the facility to the areas of the mostactivity.

- Throttle orders to areas that are underutilized and which haveidle resources.

- Implement technology that will prevent stock outs andprioritize replenishments before they occur.

Answer & Explanation Solved by verified expert
3.6 Ratings (319 Votes)
Order cycle time formula is QD where Q is the order quantity and D is the demand for the year However this also provides us ideas on how to reduce the order cycle time Now in order to reduce the    See Answer
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