Joeblog imports spectrometers for forensic laboratories and educational institutions. The item’s demand forecasts for the next 6 weeks are 25 units, followed by forecasts of 20 units for weeks 7 through 10. The current on-hand inventory is 50 units. The order policy is to produce in lots of 75. The booked customer orders for the item, starting with week 1, are 17, 25, 10, 11, 5, 10, and 5 units. The lead time is 3 weeks.
a. Develop an MPS for the spectrometer.
b. The marketing department has received further
orders for this item in the following sequence:
Order 1 is for 35 units to be delivered in period 4.
Order 2 is for 55 units to be delivered in period 5.
Order 3 is for 65 units to be delivered in period 6.
Order 4 is for 35 units to be delivered in period 7.
Order 5 is for 20 units to be delivered in period 6.
Order 6 is for 15 units to be delivered in period 9.
Assuming that the prospective MPS you developed in part
(a) does not change, which orders would you be able to accept based on the available to promise (ATP)?