A company has only one plant with a co-located warehouse location. Plant code is Z01. SKU:...

 

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A company has only one plant with a co-located warehouse location. Plant code is Z01. SKU: AAA001; Material is in-house produced at plant Z01. This is a stock item that is normally forecasted and has Draw up a supply plan table Parameter W-3 W-2 W-1 W1 W2 W3 W4 W5 W6 W7 Customer W8 W9 W10 W11 W12 400 530 0 70 300 100 220 350 780 400 310 1000 orders 12. Procurement are interested in the production plan to know how to service the requirement for a key raw material that is purchased. The Procurement manager tells you that his department does not want to do these calculations on a spreadsheet but would rather have them from you through the state-of-the-art ERP system. Manufacturing and Procurement provide you with the following data of the key raw material as per the BOM for the finished goods SKU AAA001 BOM for SKU AAA001 BOM Base quantity BOM Element BOM Element 1 BOM Element 2 100 units of SKU AAA001 Component Raw Material RM001 Raw Material RM002 BOM quantity 50 100 For Raw Material RM001, Current stock = 0, Min lot size 20, Max lot size = 1000, Increments for ordering = 20 units, Procurement leadtime (all inclusive including goods receipt, quality inspection, etc.) = 2 weeks Based on this, can you draw up a Procurement plan that gives a view of both when the goods are required in-house as well as when the purchase orders need to be placed. RM002 is not critical since it is just a label that is printed at need inhouse and therefore decide to not worry about it for now. A company has only one plant with a co-located warehouse location. Plant code is Z01. SKU: AAA001; Material is in-house produced at plant Z01. This is a stock item that is normally forecasted and has Draw up a supply plan table Parameter W-3 W-2 W-1 W1 W2 W3 W4 W5 W6 W7 Customer W8 W9 W10 W11 W12 400 530 0 70 300 100 220 350 780 400 310 1000 orders 12. Procurement are interested in the production plan to know how to service the requirement for a key raw material that is purchased. The Procurement manager tells you that his department does not want to do these calculations on a spreadsheet but would rather have them from you through the state-of-the-art ERP system. Manufacturing and Procurement provide you with the following data of the key raw material as per the BOM for the finished goods SKU AAA001 BOM for SKU AAA001 BOM Base quantity BOM Element BOM Element 1 BOM Element 2 100 units of SKU AAA001 Component Raw Material RM001 Raw Material RM002 BOM quantity 50 100 For Raw Material RM001, Current stock = 0, Min lot size 20, Max lot size = 1000, Increments for ordering = 20 units, Procurement leadtime (all inclusive including goods receipt, quality inspection, etc.) = 2 weeks Based on this, can you draw up a Procurement plan that gives a view of both when the goods are required in-house as well as when the purchase orders need to be placed. RM002 is not critical since it is just a label that is printed at need inhouse and therefore decide to not worry about it for now.

Answer rating: 100% (QA)

Sure lets break it down step by step Determine Raw Material Requirements Based on the BOM we k... View the full answer