In your studies this week, you found that the optimal order quantity is achieved at the point at which inventory setup cost per unit of time equals inventory holding cost per unit of time. Knowing this, your employer, a manufacturer of office chairs, asks that you determine the optimal order quantity for two suppliers of coil springs.

Your manufacturing facility operates 50 weeks a year and requires a steady supply of 1000 coil springs per week. Supplier A charges $1 for each spring, and you resell them for $4 each. The set up charge is $20 per order. An inventory carrying charge of 25% is incurred.

1. Complete the table and calculate the optimal order quantity for Supplier A.

Units

Setup costs

Inventory carrying cost

Show equation used with all above values filled in

Optimal order quantity of springs

1. Provide a similar table and calculate the optimal order quantity of springs for Supplier B. Supplier B charges $2 for each spring. The set up charge is $10 per order. All other variables remain the same as with Supplier A.
2. The calculations assume that you are starting with a zero inventory balance. Discuss why zero inventory balance is or is not a desirable condition in most businesses. Be sure to include at least the three benefits of lower inventory carrying costs, having an inventory safety stock, and other potential benefits or risks.

The Optimal Order Quantities paper:

• Must be two to three double-spaced pages in length (not including title and references pages) and formatted according to APA style as outlined in the Ashford Writing Center (Links to an external site.)Links to an external site..
• Must include a separate title page with the following:
  • Title of paper
  • Student’s name
  • Course name and number
  • Instructor’s name
  • Date submitted
• Must use at least two scholarly sources in addition to the course text.
  • The Scholarly, Peer Reviewed, and Other Credible Sources (Links to an external site.)Links to an external site. table offers additional guidance on appropriate source types. If you have questions about whether a specific source is appropriate for this assignment, please contact your instructor. Your instructor has the final say about the appropriateness of a specific source for a particular assignment.
• Must document all sources in APA style as outlined in the Ashford Writing Center.

Corporate Strategy

ASSIGNMENT BRIEF

Develop an Annual Report for a Company of your choice.

From a technological point of view, the “internet” is all the computers in the world that are connected, including the technologies as well as the wires and antennas that keep all the computers talking to each other. From a professional point of view, however, the internet is an endless source of useful information. All decisions in the corporate world today are based (and should be based) on valid, reliable and credible information. This information comes from investigations of the external environment of a company and a realization of the company’s strengths, weakness, opportunities and threats. But not all the available information over the net is credible and reliable. So where can we (as corporate managers) find the right information?

Following this line of inquiry, you are required to apply the knowledge you have accumulated throughout the module (and the development of assignment 1) in terms of research, intelligence gathering, strategy analysis and formulation, mission set-up, and control, towards analysing a company’s published annual report. More specifically, you are required to:

Step 1: Identify a PLC company that uses strategic management – this company may be prosperous, booming, in decline, or in economic difficulties;

Step 2: Visit the corporate website, examine the annual statement and investor information and develop a comprehensive analysis;

Step 3: Write a full analysis of the company and suggest possible strategic alternatives to follow;

Step 4: Guide potential investors on whether it worth investing their money in the company (or not) and why.

Specifics:

 Wordage: 5000 words

 Reference all sources according to Harvard Referencing, both in the text and reference list