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Using textbook Simchi-Levi, David, Kaminsky, Philip, Simchi-Levi, Edith, (2008). Designing and Managing the Supply Chain: Concepts, Strategies and Case Studies, 3rd Edition. New York, NY: McGraw Hill. Please answer the following questions after reviewing the reading and lessons for Week 2.

1. How can firms cope with huge variability in customer demand?

2. What is the relationship between service and inventory levels?

3. What is the impact of lead time, and lead time variability, on inventory levels?

Textbook : http://books.google.com.ua/books?id=dUKGHB_YjFQC&printsec=frontcover&dq=Simchi-Levi,+David,+Kaminsky,+Philip,+Simchi-Levi,+Edith&hl=en&sa=X&ei=X6xjVPDOMebP7QbJyYHAAQ&redir_esc=y#v=onepage&q=Simchi-Levi%2C%20David%2C%20Kaminsky%2C%20Philip%2C%20Simchi-Levi%2C%20Edith&f=false

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