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A factory in Montreal furnishes parts to distribution centres in Waterloo and Toronto. The lead time of delivery from the factory to each of the
A factory in Montreal furnishes parts to distribution centres in Waterloo and Toronto. The lead time of delivery from the factory to each of the DCs is assumed to be one week. The distribution centre in Waterloo has a weekly demand of 40 products (end-items), and needs 2 parts to assemble a single product. Demands in Toronto are 30 products per week, but requires 3 parts per end-item (product). Each DC has an Economic Order quantity of 200 parts. Waterloo has an opening inventory of 100 parts; the initial stock in Toronto is 150 parts. The Montreal factory is itself supplied by air freight from overseas. The lead time is 1 week, with orders arriving in batches of 600. The factory begins with 400 parts in initial storage. Required: (a) Provide the DRP plan covering the next 9 weeks, for each of the DCs and the Montreal factory. (b) Now, instead of an EOQ policy, consider an LFL policy for the Waterloo DC. (You may wish to look up the meaning of Lot-For-Lot.") Make the changes necessary for all the DRP tableaux. (c) Suppose, in part (a), the factory in Montreal were to use a reorder policy with a reorder point of 200, rather than a DRP system. How would the factory's average inventory change? A factory in Montreal furnishes parts to distribution centres in Waterloo and Toronto. The lead time of delivery from the factory to each of the DCs is assumed to be one week. The distribution centre in Waterloo has a weekly demand of 40 products (end-items), and needs 2 parts to assemble a single product. Demands in Toronto are 30 products per week, but requires 3 parts per end-item (product). Each DC has an Economic Order quantity of 200 parts. Waterloo has an opening inventory of 100 parts; the initial stock in Toronto is 150 parts. The Montreal factory is itself supplied by air freight from overseas. The lead time is 1 week, with orders arriving in batches of 600. The factory begins with 400 parts in initial storage. Required: (a) Provide the DRP plan covering the next 9 weeks, for each of the DCs and the Montreal factory. (b) Now, instead of an EOQ policy, consider an LFL policy for the Waterloo DC. (You may wish to look up the meaning of Lot-For-Lot.") Make the changes necessary for all the DRP tableaux. (c) Suppose, in part (a), the factory in Montreal were to use a reorder policy with a reorder point of 200, rather than a DRP system. How would the factory's average inventory change
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