Given the following data: Usage per Lead Time Item Parent (weeks) J - 3 K 3 2 L
ID: 395498 • Letter: G
Question
Given the following data:
Usage per Lead Time
Item Parent (weeks)
J - 3
K 3 2
L 1 1
M 2 2
N 4 3
O 2 2
P 1 1
Q 6 2
The end product J is made from components K, L, and M. K is made from N and O. O is made from P and Q.
(a) What is the replenishment lead time for J, assuming there are no inventories?
(b) Calculate the gross requirements for each of the components if the company plans to build 10 of its J model. Assume that there are no beginning inventories.
(c) Calculate the gross requirements for each of the components if the company plans to build 10 of its J model if you have these beginning inventories: 60 N and 60 O.
(d) What is the replenishment lead time if the company plans to build 10 of its J model, assuming the beginning inventories given in (c) above?
Explanation / Answer
a) JL=3+1=4
JM=3+2=5
JKN=3+2+3=8 ( as k is made from n and o and o from p and q further additions are done)
JKOP=3+2+2+1=8
JKOQ=3+2+2+2=9
Replenishment time is 9 weeks
b)
Usage per Lead Time Gross
Item Parent (weeks) Requirements
J - 3 10
K 3 2 30 (10x3)
L 1 1 10 (10x1)
M 2 2 20 (10x2)
N 4 3 120 (30x4) used for K
O 2 2 60 (30x2) used for K
P 1 1 60 (60x1) used for O
Q 6 2 360 (60x6) used for O
c)
Usage per Lead Time Gross
Item Parent (weeks) Requirements
J - 3 10
K 3 2 30
L 1 1 10
M 2 2 20
N 4 3 120-60=60
O 2 2 60-60=0
P 1 1 60
Q 6 2 360
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