Question

Include a brief summary of the case, a model formulation, any computations as appropriate, and an analysis of results. Include any recommendations and conclusions you feel are appropriate for the case.

II) The main street deli - rotisserie chicken
The main street deli in Hayward, CA prepares rotisserie chicken for patrons who come in at the end of the day after work. Currently, the daily demand for these rotisserie chickens at the end of the day has been found to be distributed as follows (based on historical data):

The deli is not consistent with regard to how many of these chickens they can bake daily. This is because they hire a number of Cal State University East Bay Students to work daily, and some are not available because of school commitments. Based on past data, the number of chickens which can be baked on a given day is distributed as follows. Note that if on any day an excess of chickens are baked, they will be disposed of and cannot be saved for later use. Also, if there is an excess of demand on any given day, this demand will be lost.

The rotisserie chickens are sold for $18 each, and cost $7 to bake. Conduct a simulation of chickens baked and sold daily for 30 days. You can use any source of random numbers you choose!!!!!! (Note that you will need separate random numbers to generate the number of chickens baked daily, and the daily demand for chickens!!)

A) Define your random number range tables.
B) Show your simulation table. Include columns for
- The number of chickens baked daily
- The daily demand for baked chickens
- The number of chickens sold daily
- Excess chickens baked daily (not sold)
- Shortage of chickens daily (unmet demand)
C) Based on your simulated results, what is the average daily profit made? Show your calculation.
D) How much demand for chickens is lost, again on an average daily basis?
E) How many chickens are disposed of, again on an average daily basis?
F) Do you believe you are baking too many chickens relative to demand? Explain your reasoning. (Hint: determine the long-run expected number of chickens baked daily, and the long-run expected daily demand for baked chickens - compare these values!!!!!)    Make sure to show your simulation table and the random numbers you assigned.

Answer 1

Formula Sheet for the above excel is :-

Formula Sheet:-