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Lawn King Inc. makes two models of lawn mowers, the standard Lawn Mower 100 (par

ID: 370341 • Letter: L

Question

Lawn King Inc. makes two models of lawn mowers, the standard Lawn Mower 100 (part number 100) and the more powerful Lawn Mower 150 (part number 150). The following information is taken from the bill of material files for each of the lawn mowers.

Part Number

Made from Part

Number

Quantity per

100

301

2

302

2

150

302

1

305

1

301

303

2

304

1

302

303

302

2

304

Note that the company operates two shifts a day for five days a week, and each shift is 8 hours. However the company loses on the average 5 hours a week to unscheduled maintenance. On the other hand, the company has a well trained workforce and has recently demonstrated an efficiency level of 95%.

Partially completed Master Production Schedules for Lawn Mower 100 and 150 are given below. Lawn Mower 100 and 150 are built in lots of 200 and 100, respectively.

The MRP record for 100 shows that there are 200 units scheduled to be received in week 1. None is on hand. The lead time is two weeks and it is built in lots of 200.

The MRP record for 150 shows that there are 100 units scheduled to be received in week 1. None is on hand. The lead time is two weeks and it is built in lots of 100.

Part 301 is a component having a lead time of two weeks, and a lot size of 600. At present there are lots scheduled to be received in week 1 and week 2.

Part 302 is a component with a lead time of one week, and a lot size of 1500. At present there are 500 on hand and a lot to be received in week 1. Part 303 is a component having a lead time of one week, and a lot size of 1500. At present there is a lot scheduled to be received in week 1.

Part 304 is a component having a lead time of four weeks, and a lot size of 2000. At present there are 2200 on hand and there is a lot scheduled to be received in week 4.

Part 305 is a component with a lead time of one week, and a lot size of 1500. At present there are none on hand and a lot to be received in week 1.

Master Schedule

Master Schedule

Week

1

2

3

4

5

6

7

8

9

10

Forecast

50

50

50

50

150

50

50

0

50

50

Customer Orders

45

48

48

50

120

30

35

10

25

30

Projected Available Balance

Master Production Schedule

100

Available to Promise

MRP Record

Week

1

2

3

4

5

6

7

8

9

10

Gross Requirements

Scheduled Receipts

Projected Available Balance

Net Requirements

Planned Order Receipts

Planned Order Release

Pegging File

Week

1

2

3

4

5

6

7

8

9

10

Gross Requirements

Part

Part

Part Name: Lawn Mower 100

Part Number: 100

Drawing Number: D123X-100

ROUTING

FILE

Operation No:

Work Center

Setup Time (std hours)

Run Time/piece (Std hours)

Operation

10

12

1

0.25

Case Assembly

20

14

0.1

0.2

Inspection

30

16

0.1

0.2

Packaging

40

Store

-

-

Inventory

Part Name: Lawn Mower 150

Part Number: 150

Drawing Number: D12X-150

ROUTING

FILE

Operation No:

Work Center

Setup Time (std hours)

Run Time/piece (Std hours)

Operation

10

12

1

0.35

Case Assembly

20

15

0.1

0.25

Inspection

30

17

0.1

0.25

Packaging

40

Store

-

-

Inventory

DISPATCH LIST

Released Orders

Order Number

Part Number

Order Quantity

Setup Time (Hours (std))

Run Time (Hours(std)/piece)

Total Time

Quantity Completed

Load remaining

Operation Start

Operation Finish

1

121

200

75

1

0.25

19.75

25

13.5

249

251

2

123

250

50

1.25

0.50

0

3

124

300

30

2

0.75

0

Question

1.Partially completed Master Production Schedule, pegged requirement file, MPS and MRP work sheets are given below. Complete the MPS, MRP and Pegging work sheets, by filling in information from what is given above, and performing the required calculations

2.Perform Rough Cut Capacity Planning (RCCP) calculations (by using one of the RCCP methods) to check the feasibility of your proposed schedules. Comment on your results.

3.Perform Capacity Requirements Planning (CRP) calculations to check the feasibility of your proposed schedules. Comment on your results.

Part Number

Made from Part

Number

Quantity per

100

301

2

302

2

150

302

1

305

1

301

303

2

304

1

302

303

302

2

304

Explanation / Answer

Hi,

Thanks for the question.

4 P's define the marketing strategy for any company or for a particular brand. This is the strategy to reach and market the product to the customers.

The 4 P's will be:

Product: As mentioned, the product for this particular scenario will be McChicken and Big Mac.
Price: Price generally should be according to the perception of the customers to see its worth. They should consider to price the product moderately not on a low price because that would give the feel as the quality compromised.
Place: That should be very evenly distributed across the outlets in the US. The product will be very popular so the company should be very efficient in the distribution.
Promotions: Mcdonald's is very aggressive in terms of the advertising mostly in the Tv advertisement or OOH branding.