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1. Valles Galactic Industries (VGI) is developing a new automobile for urban exploring. The VGI VaRapido is shown in exploded view on the next page.

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1. Valles Galactic Industries (VGI) is developing a new automobile for urban exploring. The VGI VaRapido is shown in exploded view on the next page. Some facts about the product: Body Shell Purchase from Pininfarina, Italy and delivered by ship. 8 weeks plus two weeks shipping Tires Engine Engine Electric Parts Michelin Assembled at VGI Engines, Del Rio TX. Purchased and then assembled in house two weeks before chassis assembly. Manufactured at VGI Engines, Del Rio TX. Made in house from purchased materials. Purchased six-month supply at a time. Cylinder Block Trim Any raw materials 6 weeks Average = 8 weeks 2 weeks 1 week Scheduled with vendors Scheduled with vendors Electrical parts Ordered six months ahead from vendor. a) VGI believes they can sell 175,000 VaRapidos a quarter over the next three years increasing by 25,000 a quarter after one year. Develop a master production schedule. b) Develop a structured bill of material for the VaRapido. c) When is the earliest VGI can actually deliver a car to one of the VGI dealerships if final assembly and test takes two weeks? Assume Monday, May 2, is day 1 of starting to order components. d) Final assembly is done at the VGI plant located in El Segundo, CA. Currently, electrical parts (ordered from various manufacturers in east Asia) are running six to nine months delivery behind schedule. What might VGI do to address this problem? 1. Valles Galactic Industries (VGI) is developing a new automobile for urban exploring. The VGI VaRapido is shown in exploded view on the next page. Some facts about the product: Body Shell Purchase from Pininfarina, Italy and delivered by ship. 8 weeks plus two weeks shipping Tires Engine Engine Electric Parts Michelin Assembled at VGI Engines, Del Rio TX. Purchased and then assembled in house two weeks before chassis assembly. Manufactured at VGI Engines, Del Rio TX. Made in house from purchased materials. Purchased six-month supply at a time. Cylinder Block Trim Any raw materials 6 weeks Average = 8 weeks 2 weeks 1 week Scheduled with vendors Scheduled with vendors Electrical parts Ordered six months ahead from vendor. a) VGI believes they can sell 175,000 VaRapidos a quarter over the next three years increasing by 25,000 a quarter after one year. Develop a master production schedule. b) Develop a structured bill of material for the VaRapido. c) When is the earliest VGI can actually deliver a car to one of the VGI dealerships if final assembly and test takes two weeks? Assume Monday, May 2, is day 1 of starting to order components. d) Final assembly is done at the VGI plant located in El Segundo, CA. Currently, electrical parts (ordered from various manufacturers in east Asia) are running six to nine months delivery behind schedule. What might VGI do to address this

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