The following table lists the components needed to assemble an end item, lead ti
ID: 379337 • Letter: T
Question
The following table lists the components needed to assemble an end item, lead times (in weeks), and quantities on hand. Item Lead Time Amount on Hand Direct Components End 1 0 L(2), C(1), K(3) L 2 11 B(2), J(3) C 3 17 G(2), B(2) K 4 23 H(4), B(2) B 3 34 J 3 25 G 3 7 H 3 0 a. If 43 units of the end item are to be assembled, how many additional units of B are needed? (Hint: You don’t need to develop an MRP plan.) Additional units b. An order for the end item is scheduled to be shipped at the start of week 11. What is the latest week that the order can be started and still be ready to ship on time? (Hint: You don’t need to develop an MRP plan.) The latest week
Explanation / Answer
a)
To produce the end item we need:
2 units of L; L needs 2 units of B. Hence, end item needs 2*2=4 units B
1 unit C, C needs 2 units B, Hence, end item needs 2 units of B
3 units K, K needs 2 units of B. Hence, end item needs 2*3 = 6 units of B
Total B required = 4+2+6 = 12 units of B for 1 units of end item
for 43 units of End item, B required = 43*12 = 516 units
B in stock = 34
Additional B required = 516-34 = 482 units
b)
Maximum time taken by independent components B,J,G,H is 3 weeks for all
Maximum time for direct components of end item is = 4 weeks for K
End item takes = 1 week
total time = 3 +4 +1 = 8 weeks
Order is due in start of week 11. hence the maximum delay that the order can be started = 10-8 = 2 weeks
The latest week = week 3
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