This company produces a family of two computers, Models A and B. The master production plan...
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This company produces a family of two computers, Models A and B. The master production plan is in weeks. Beginning inventory for the family is 600 units, and the plan is to reduce that to 300 units or less by the end of the month. The MPS is made using weekly periods. There are 4 weeks in this month. Statistically, 1/3 of the family forecast is driven by Model A and 2/3 by Model B. The forecast for the family is shown below: Week Forecast Model A: Week Forecast Customer Orders 1 280 PAB ATP MPS The lot sizing policy for Model A is 100 units and has a safety stock of 40 units. There are 300 units on hand of Model A. The lot size is 100 units and a safety stock of 50 units for Model B. There are 300 units on hand for Model B. Actual customer orders were provided. a. (20 points). Complete the MPS records: 1 2 250 40 2 3 200 105 3 4 150 0 4 Total 880 100 Model B: Week 1 Forecast Customer Orders 245 PAB ATP MPS 2 80 3 100 4 110 b. (3.75 points). Could the inventory target of 300 units be reached based on your production plan? Justify your answer. c. (3.75 points). For Model B, an order for 120 units was requested to be added in week 2. Do you accept that order? Yes, no and why? Justify your answer. This company produces a family of two computers, Models A and B. The master production plan is in weeks. Beginning inventory for the family is 600 units, and the plan is to reduce that to 300 units or less by the end of the month. The MPS is made using weekly periods. There are 4 weeks in this month. Statistically, 1/3 of the family forecast is driven by Model A and 2/3 by Model B. The forecast for the family is shown below: Week Forecast Model A: Week Forecast Customer Orders 1 280 PAB ATP MPS The lot sizing policy for Model A is 100 units and has a safety stock of 40 units. There are 300 units on hand of Model A. The lot size is 100 units and a safety stock of 50 units for Model B. There are 300 units on hand for Model B. Actual customer orders were provided. a. (20 points). Complete the MPS records: 1 2 250 40 2 3 200 105 3 4 150 0 4 Total 880 100 Model B: Week 1 Forecast Customer Orders 245 PAB ATP MPS 2 80 3 100 4 110 b. (3.75 points). Could the inventory target of 300 units be reached based on your production plan? Justify your answer. c. (3.75 points). For Model B, an order for 120 units was requested to be added in week 2. Do you accept that order? Yes, no and why? Justify your answer.
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Related Book For
Introduction To Materials Management
ISBN: 978-9386873248
8th edition
Authors: Arnold J. R. Tony, Gatewood Ann K., M. Clive Lloyd N. Chapman Stephen
Posted Date:
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