A company sells three models of radar detector units. It buys three basic units (E, F, and

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A company sells three models of radar detector units. It buys three basic units (E, F, and G) from a Japanese manufacturer and adds one, two, or four lights (component D) to further differentiate the models. D is bought from a domestic producer.

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Lead times are one week for all items except C, which is two weeks. There are ample supplies of tire basic units (E, F, and G) on hand. There are also 10 units of B, 10 units of C, and 25 units of D on hand. Lot sizing rules are lot-for-lot ordering for all items except D, which must be ordered in multiples of 100 units. There is a scheduled receipt of 100 units of D at the start of week 1.
The production schedule calls for 40 units of A to be available at the start of week. 4, 60 units of Bat the start of week 5, and 30 units of C at the start of week 6. Prepare the material requirements plan for D and its parents.
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Operations Management

ISBN: 978-0071091428

4th Canadian edition

Authors: William J Stevenson, Mehran Hojati

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