solution

Consider three SKUs moving through a unit-load warehouse.
• SKU A: Every 5 days, 40 pallets are shipped out in the morning and 40 new
pallets arrive in the afternoon. On average, there are 90 pallets on hand.
• SKU B: Every 4 days, 200 pallets are shipped out in the morning and 200 new
pallets arrive in the afternoon. On average, there are 800 pallets on hand.
• SKU C: Every 10 days, 10 pallets are shipped out in the morning and 5 new
pallets arrive in the afternoon. On average, there are 15 pallets on hand.
Which of these SKUs should get first priority for the most convenient storage
locations? Second priority? Last priority? Prove your answer with a quantitative
analysis.

 
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