Please answer questions base on the Sport Obermeyer Ltd Harvard article.
HEURISTIC RESULTS IF NO PRODUCTION MINIMUMS Style
1048 First period production Qty K= 0 4017
20001 1) Producing average for each style, (k=0) implies first period production quantity is 20001
2) Minimize my risk by forcing first period production quantity = 10,000 (roughly break even for the factories)
3) Produce upto the SAME demand percentile for EACH style
4) Assuming normal distribution, this means producing the average of a style's forecast
minus the same number of standard deviation of that style's forecast
Use Cells F2 and D13 in Goal Seek. Make cell D13 take on the target value of 10,000
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Oct 14, 2020EXPERT
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