5. Various MPS practices were discussed in class. From the following statements,

Question

5. Various MPS practices were discussed in class. From the following statements, identify which is false. a. Backward loading refers to the practice of allocating capacity to an order working from its due date back towards the present time. b. A "level" MPS attempts to utilize varying employment levels (or possibly employment utilization rates) to absorb fluctuations in demand. c. A "chase" or "matching" MPS attempts to equalize production and demand rates in each production planning period d. Forward loading refers to the practice of allocating capacity to an order working from the present time into the future given lead time requirements. e. The two broad objectives of a MPS are to meet demand and to minimize costs. 6. As discussed in class, the execution cycle consists of various activities. Which of the following is not an activity in the execution cycle? a. Distribution b. Purchasing (procurement c. Postponement d. Fabrication e. Assembly

Explanation / Answer

5. e is False. Aggregate planning is an attempt to balance capacity and demand in such a way that costs are minimized. Its not MPS

6. c is not an activity of the execution cycle. Steps are:- Purchasing --> Assembly --> Fabrication --> Distribution

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