Graded Assignment 2: Queenstown Gyroscopes Inc.

You are assisting Queenstown Gyroscopes Inc. (QGI) in improving their Master Production Scheduling (MPS) and Materials Requirements Planning (MRP) systems. They have a production line assembling their famous Kiwi-99 gyroscopes from components supplied by various vendors. They have had issues with communicating effectively to their suppliers. Another challenge that they are having is that their sales team tends to over-promise to potential clients. This can lead to either high production over-runs due to last minute changes or unsatisfied customers.

QGI runs a rolling 12 week planning horizon with time fencing. They do not allow any changes to their production quantities within 4 weeks - this is the frozen period. For 5 to 8 weeks out, they allow limited changes (plus or minus 10%) to the production levels. And 9 or more weeks out they allow changes of up to 50% of the production plan.

The table below shows the committed orders and the planned production runs for the next 12 weeks. Assume that there are 133 units on hand at time period 0.