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1.

A furniture company assembles office tables from frames, which it makes, and glass, which it purchases from an outside supplier. The sales department has prepared the following 6-week forecast for the "Winsor", a popular model. The tables are assembled in lots of 220, and the opening inventory is 300. Complete the projected available balance and the master production schedule.

Week		1	2	3	4	5	6
Forecast sales		200	300	300	200	150	150
Projected available	300
MPS

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2.

Given the following data, calculate how many units are available to promise. There are 5 units on hand.

Week	1	2	3	4	5	6
Customer orders	21		17	8		3
MPS	30		30	30
ATP

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3.

Product A is an assemble-to-order product. It has a lot size of 150, and currently has an on-hand inventory of 110 units. There is a 2-week demand time fence and a 12-week planning time fence. The following table gives the original forecast and the actual customer orders for the next 12 weeks:

Week	1	2	3	4	5	6	7	8	9	10	11	12
Forecast	80	80	80	70	70	70	70	70	70	70	70	70
Demand	83	78	65	61	49	51	34	17	11	7	0	0

a. Given this information, develop a realistic master schedule, complete with ATP logic.

b. Explain how you would respond to each of the following customer order requests.

Assume these are independent requests, and do not have cumulative effects.

• 20 units in week 3
• 40 units in week 5
• 120 units in week 7

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4.

A Heating, Cooling and Air Condition (HVAC) company has a problem. The heat pumps are fairly expensive to make and store, so the company tends to keep the inventory low. At the same time, it is important to respond to demands quickly, since a customer who wants a heat pump is very likely to get one from a competitor if HVAC doesn't have one available immediately.

The current policy to produce pumps is to produce 100 per week, which is the average demand. Even this is a problem, as the production manager has pointed out, since the equipment is also used for other products and the lot size of 300 would be much more efficient. He said he is currently set up for water pump production for the next week and states that he has capacity available to produce 300 at a time next week. The following lists the forecasts and actual customer orders for the next 12 weeks.

Week	1	2	3	4	5	6	7	8	9	10	11	12
Forecast	90	120	110	80	85	95	100	110	90	90	100	110
Demand	105	97	93	72	98	72	53	21	17	6	2	5

The president of HVAC has said that he wants to consider using a formal MPS with ATP logic to try to meet demand more effectively without a large impact on inventory. HVAC has decided to use a demand time fence at the end of week 3 and has also found out that its current inventory is 25 units. HVAC will use the MPS lot size of 300 and that it will produce the first of those lots in week 1.

• Develop a master schedule using the information above.