Question
A company wants to calculate its ordering and inventory holding costs using the three purchasing criteria to define which one causes the most expenses and
A company wants to calculate its ordering and inventory holding costs using the three purchasing criteria to define which one causes the most expenses and try to move to a purchasing policy that helps it in its cost reduction plan. Therefore, it was determined that, for the assembly of the product, the cost of preparation is $ 75, and the cost of maintaining the inventory is $ 10 per period, currently there are 100 units in stock and a safety inventory of 50 is maintained. pieces, by procedure somehow there should always be a safety inventory Warehouse informs that the estimated entry and exit movements are as follows; For week 4 an order of 100 units is required, in week 5 200 are required, in week 6 150 are required, in week 7 250 are required, but it is pending to send a shipment of 100 units in week 3 that is committed for that period (they are the ones in stock), the installed capacity is 175 units per period, elaborates the MPS if the production time of product A requires two weeks The product BOM is as follows
The warehouse record is in the following table:
Due to the demand for product D, the administrative manager plans to implement a consolidated purchasing program based on Silver Meal that optimizes the acquisition process, determines the most appropriate batch size and the cost for the purchase.
A B 2 1 D 3 D 1 D 2 INVENTORY REGISTRY ELEMENTS B D Delivery time 1 week 2 week 1 week Initial inventory 150 75 750 Purchasing policy POQ (P=2) LxL 0 50 100 Security inventory Pending to receive 200 (S-1) 150 (S-1) A B 2 1 D 3 D 1 D 2 INVENTORY REGISTRY ELEMENTS B D Delivery time 1 week 2 week 1 week Initial inventory 150 75 750 Purchasing policy POQ (P=2) LxL 0 50 100 Security inventory Pending to receive 200 (S-1) 150 (S-1)Step by Step Solution
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