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BRSFinal12-21-05

BRSFinal12-21-05

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Categories:Types, Business/Law
Published by: lscm4book on Apr 10, 2011
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11/01/2012

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This change would also only affect the “Receiving process.” In this scenario we assume
that gift problem rates (currently averaging 0.2453) are reduced by half. The following
equation template is used to compute labor savings:

Avg. Annual Labor Savings = 0.5 * (0.2453 problems/shipment line) * shipments/wk *
20 lines/shipment * (2.5 minutes per line/60 minutes per hour)*receiving clerk wage/hr *
52 weeks/yr.

Average Small Store Savings
0.5 * (0.2453) * 3.46 * 20 * (2.5/60) * $7.16 * 52 = $131.67/yr

Systems View

12/21/2005

36

Average Medium Store Savings
0.5 * (0.2453) * 12.50 * 20 * (2.5/60) * $8.11 * 52 = $538.79/yr

Average Large Store Savings
0.5 * (0.2453) * 36.70 * 20 * (2.5/60) * $9.71 * 52 = $1893.98/yr

Weighted Average Savings
(.7509)*($131.67) + (.2113)*($538.79) + (.0378)*($1893.98) = $284.31/yr

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