Q.1. Green manufacturing is a term that was coined to reflect novel manufacturing concepts that utilize various green strategies based on objectives and principles. What are the steps you would incorporate in logistic planning to initiate green manufacturing in your organization?
Q.2. Briefly discuss the global issues associated with physical distribution and transportation logistics. Cite some examples of best practices in today’s industry that is making efficiency improvements in its physical distribution.
Q.3 An automobile manufacturer uses 10,000 headlight assemblies a month in the production of SUVs. Daily production of the vehicle is reasonably stable throughout the year. The cost of each headlight assembly is Rs150.00. The company’s incremental order (acquisition) cost is Rs40.00 per order. Its incremental inventory carrying cost is 33% of the average inventory value per year.
a. What should be the ordering lot size to keep the total inventory cost minimum?
b. What will be the total inventory cost if the manufacturer uses economical ordering quantity to order each time?