Problem: Order fulfillment process Assume that if the product requested is not i

Question

Problem: Order fulfillment process Assume that if the product requested is not in stock, it needs to be manufactured before the order handling can continue. In this way, an order can never be rejected. To manufacture a product, the required raw materials have to be ordered. Two preferred suppliers provide different types of raw material. Depending on the product to be manufactured, raw materials may be ordered from either Supplier 1 or Supplier 2, or from both. Once the raw materials are available, the product can be manufactured and the order can be confirmed. On the other hand, if the product is in stock, it is retrieved from the warehouse before confirming the order. Then the process continues normally. After confirming the order, the shipment address is received and the requested product is shipped while the invoice is emitted and the payment is received. Afterwards, the order is archived and the process completes.

Simulation Objective(s) - State the objective(s) of carrying out your simulation project???

Explanation / Answer

The objective of this simulation project is to test the effectiveness of producing products with JIT approach or keeping the products in warehouse. Every industry works differently and JIT may not be applicable to every manufacturing firm. This simulation will aim to see the supply chain effectiveness and opt for the better production methodology.

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