A company needs to develop a schedule of component requirements for the producti

Question

A company needs to develop a schedule of component requirements for the production of a product (A) in the next five periods (they are currently in period 5). The product is made using different components, in different quantities, to achieve a product of high quality and agreed specificities. The administration has indicated that the requirement of finished product A for weeks 6-10 is as shown. Based on the information provided, answer the following questions (See diagram below):

Product A

A. Considering that there are Scheduled Receipts for products C and E of 15 and 5 units, respectively, for week 7, can the demands be met, according to the MPS (show the MRP tables)?

B. At the end of week 6 the Planner revisits the plan and adds the requirement for period 11. Concludes the following:

i. The Scheduled Receipts will not arrive.

ii. They require 15 of Product A for week 11. Will the demands be met (illustrate the MRP tables)?

Period On hand 6 7 8 10 Forecast 15 25 10 20 25 Projected available 75 balance Master production schedule C (2) D (3) D (3) Product Lead Time Order Size Inventory on Hand (Weeks) L.F.L 20 L.F.L 10 0 10 05 2

Explanation / Answer

A.

According to the inventory on hand, there will be need of 20 units of A in week 10. For which 20 units of B and 40 units of C will be needed in week 9. Receipts of 15 units of C in week 7 and 5 units of E.

B,

C

D

We see that for fulfilling the orders we need 60 units of D in week 7 and 60 units in week 8, which can not be produced as the lead time of D is 3 weeks. Hence the demand can not be fulfilled.

2. For delivering 15 units of A in week 11 they need

B

C

Again, for the planned order of 20 units of C, we need 60 units of D in week 8, for which the proceedings will have to be started in week 5 ( Lead time is 3 weeks), which is not possible, Hence the demand can not be fulfilled. Another 60 units of D needed in week 9 can be fulfilled by starting the order of D in week 6. In aggregate, the demand can not be fulfilled.

A Period 6 7 8 9 10 Forecast 0 0 0 0 20 On hand 0 0 0 0 0 scheduled receipts 0 0 0 0 0 Net requirement 0 0 0 0 20 planned receipts 0 0 0 0 20 planned orders 0 0 0 20 0

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