ignore the question and take a new
please answer this question
note
I need all steps and carfully about my values of annual quantity because I see another solution that some student posted it
Question 3: (a) KANJAR Company is a manufacturer of light aircraft components in Oman. For the past two years of operation, the company is experiencing production backlog. A number of its customers are complaining for long delays of deliveries. This backlog is hurting the competitive advantage and the profitability of the company. In order to address this issue, the operation manager decides to implement the following possible alternatives; production overtime, subcontracting, and possible hiring of additional workers if necessary. The company always prepares a nine-month aggregate plan to decide the optimum way to determine requirements for planning purposes, although this is modified when the demand requirements change. The estimated demand for a particular unit for the period January through September is given in Table Q3(a). The current workforce is based on the production level in the previous December. Operating data are given in Table Q3(b). Requirement: (1) Develop an aggregate plan AP based on level capacity strategy specified for the planning period. Subcontract to meet a 100% service level every month and no overtime, no hiring, and no termination. Show graphically the demand forecast, actual production output, and ending inventory in single graph. Determine the total production cost for the specified period. (ii) Table Q3(c) shows the demand orders of aircraft component of a local customer from January to September. Develop a master planning schedule MPS, assuming production lot size of 800 units, and beginning inventory intended for the particular customer is 150 units. In your MPS indicate the projected available balance PAB and the MPS per month. [3] TableQ3(a): Veatch Company Estimated demand for a product Jan Feb Mar April May June July August Sep 1,935 2,000 2,250 2,125 2,450 2,700 2,250 1,900 1,650 Not Complete solution steps Write down the solution on the computer. Write down an analysis and a summary solution Jan 1,935 TableQ3(a): Veatch Company Estimated demand for a product Feb Mar April May June July 2,000 2,250 2,125 2,450 2,700 2,250 August 1,900 Sep 1,650 Table Q3(b): Veatch Company Operating data Items Amount Initial inventory (units) 400 125 30 70 85 Stockout costs (OMR/unit) Carrying cost, (OMR/unit/month) Hiring cost per unit (OMR/unit) Termination cost per unit (OMR/unit) Subcontract cost (OMR/unit) Production units the previous December In-house production cost, (OMR/unit) Labor hours/ unit 85 1,500 75 3.2 40 Workweek (hours) Weeks/month 4 Jan Feb Table Q3(c): Veatch Company Operating data Mar May June 450 550 600 650 April July August 750 Sep 800 400 450 700 Question 1: A local company located in Nizwa assembles engines for customized trekking sport utility vehicle SUV. During the year end 2019 financial review, the company is concerned with its bloated inventory cost for the past five years. The profitability of the company has been declining year on year due to the effect of the increasing inventory costs. The newly hired manager who is a mechanical engineer is tasked to look into this matter and will provide a comprehensive proposal report to the company CEO to reduce the bloating inventory cost. The current consumption or usage of parts of the assembly department is shown in Table Q1. This data shows the typical annual usage or consumption of component parts for its engines. He found out that there is big mismanagement or neglect of the company inventories. Currently, the company is ordering parts from its suppliers locally and abroad once every three months. Develop an ABC analysis for the company's inventories. Show completely the results in tabular form using excel. [6] (W) Create a PARETO analysis for the ABC analysis using excel (1) Considering your class A' inventories, determine the economic order quantity EOQ using the following assumptions, zero safety stock for each class A inventories, stocking cost is 10% of the unit price, ordering cost for any class A inventories is 120 OMR per order. Determine the cost savings if E0Q is followed instead of the current ordering system of the company which is once every three months for 'class A inventories [6] Table Q1: Annual Usage of Component Parts Part Number Annual quantity (unit) Unit cost (OMR unit) 111D 30,396 1.00 128H 48,420 0.50 196G 7.330 22.40 205Y 2.811 270.00 2160 2.943 12.80 2173 3,323 122.40 228G 818 98.40 235D 63,256 1.80 249E 13,527 6.30 258L 2,048 62.40 261K 18,790 1.20 272J 4,672 9.00 324H 20,367 1.50 333C 2,080 15.40 3340 7,339 24.00 3525 12.124 19.20 391J 2.129 51.60 421A 4,183 9.60 4325 4,469 7.60 4365 72,776 0.25 452F 3,039 13.50 462R 3,838 16.80 463H 2,761 132.00 478L 26.898 1.20 5211 2.723 13.80 5329 1,025 144.00 610B 28,504 5.10 A [Total 16 marks] Question 3: (a) KANJAR Company is a manufacturer of light aircraft components in Oman. For the past two years of operation, the company is experiencing production backlog. A number of its customers are complaining for long delays of deliveries. This backlog is hurting the competitive advantage and the profitability of the company. In order to address this issue, the operation manager decides to implement the following possible alternatives; production overtime, subcontracting, and possible hiring of additional workers if necessary. The company always prepares a nine-month aggregate plan to decide the optimum way to determine requirements for planning purposes, although this is modified when the demand requirements change. The estimated demand for a particular unit for the period January through September is given in Table Q3(a). The current workforce is based on the production level in the previous December. Operating data are given in Table Q3(b). Requirement: (1) Develop an aggregate plan AP based on level capacity strategy specified for the planning period. Subcontract to meet a 100% service level every month and no overtime, no hiring, and no termination. Show graphically the demand forecast, actual production output, and ending inventory in single graph. Determine the total production cost for the specified period. (ii) Table Q3(c) shows the demand orders of aircraft component of a local customer from January to September. Develop a master planning schedule MPS, assuming production lot size of 800 units, and beginning inventory intended for the particular customer is 150 units. In your MPS indicate the projected available balance PAB and the MPS per month. [3] TableQ3(a): Veatch Company Estimated demand for a product Jan Feb Mar April May June July August Sep 1,935 2,000 2,250 2,125 2,450 2,700 2,250 1,900 1,650 Not Complete solution steps Write down the solution on the computer. Write down an analysis and a summary solution Jan 1,935 TableQ3(a): Veatch Company Estimated demand for a product Feb Mar April May June July 2,000 2,250 2,125 2,450 2,700 2,250 August 1,900 Sep 1,650 Table Q3(b): Veatch Company Operating data Items Amount Initial inventory (units) 400 125 30 70 85 Stockout costs (OMR/unit) Carrying cost, (OMR/unit/month) Hiring cost per unit (OMR/unit) Termination cost per unit (OMR/unit) Subcontract cost (OMR/unit) Production units the previous December In-house production cost, (OMR/unit) Labor hours/ unit 85 1,500 75 3.2 40 Workweek (hours) Weeks/month 4 Jan Feb Table Q3(c): Veatch Company Operating data Mar May June 450 550 600 650 April July August 750 Sep 800 400 450 700 Question 1: A local company located in Nizwa assembles engines for customized trekking sport utility vehicle SUV. During the year end 2019 financial review, the company is concerned with its bloated inventory cost for the past five years. The profitability of the company has been declining year on year due to the effect of the increasing inventory costs. The newly hired manager who is a mechanical engineer is tasked to look into this matter and will provide a comprehensive proposal report to the company CEO to reduce the bloating inventory cost. The current consumption or usage of parts of the assembly department is shown in Table Q1. This data shows the typical annual usage or consumption of component parts for its engines. He found out that there is big mismanagement or neglect of the company inventories. Currently, the company is ordering parts from its suppliers locally and abroad once every three months. Develop an ABC analysis for the company's inventories. Show completely the results in tabular form using excel. [6] (W) Create a PARETO analysis for the ABC analysis using excel (1) Considering your class A' inventories, determine the economic order quantity EOQ using the following assumptions, zero safety stock for each class A inventories, stocking cost is 10% of the unit price, ordering cost for any class A inventories is 120 OMR per order. Determine the cost savings if E0Q is followed instead of the current ordering system of the company which is once every three months for 'class A inventories [6] Table Q1: Annual Usage of Component Parts Part Number Annual quantity (unit) Unit cost (OMR unit) 111D 30,396 1.00 128H 48,420 0.50 196G 7.330 22.40 205Y 2.811 270.00 2160 2.943 12.80 2173 3,323 122.40 228G 818 98.40 235D 63,256 1.80 249E 13,527 6.30 258L 2,048 62.40 261K 18,790 1.20 272J 4,672 9.00 324H 20,367 1.50 333C 2,080 15.40 3340 7,339 24.00 3525 12.124 19.20 391J 2.129 51.60 421A 4,183 9.60 4325 4,469 7.60 4365 72,776 0.25 452F 3,039 13.50 462R 3,838 16.80 463H 2,761 132.00 478L 26.898 1.20 5211 2.723 13.80 5329 1,025 144.00 610B 28,504 5.10 A [Total 16 marks]
