Case 7.1 in Chapter 7
A mail-order software distributor, Floppy Express, must manage the inventory of software products that it sells. Currently management decisions are based on experience, but a consultant has suggested that modeling the inventory system could aid Floppy Express in making better decisions. The operations manager of Floppy Express has agreed to allow the consultant to develop a model for one popular word-processing package, HyperWord, to demonstrate the value of modeling. Floppy Express receives requests for software via telephone, e-mail and fax, and although HyperWord has a relatively consistent level of demand, the arrival of requests cannot be predicted with certainty. An additional complication is that the time required to obtain copies of HyperWord from the manufacturer is subject to some variation.
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