2. Answer the following questions a. (9 points) A La Luna LLC produces circuit b
ID: 2516639 • Letter: 2
Question
2. Answer the following questions a. (9 points) A La Luna LLC produces circuit boards and wants to prepare a master production schedule for May and June. Marketing has forecasted demand of 100 pumps for May and 120 pumps for June. These have been evenly distributed over the four weeks in each month: 25 per week in May and 30 per week in June. At the beginning of May, A La Luna LLC will have 47 circuit boards on hand. The current customer orders for each week is also shown below. Prepare a master production schedule for A La Luna LLC. Use the MPS rule of scheduling production when the projected on-hand inventory would be negative without production and use a lot size of 100. May June 47 1 Forecast Customer Orders Projected on-hand 18 34 27 0 MPS Available-to-promise b. (9 points) Product A is assembled using part B and assembly C, as shown in the product structure tree. There are 20 units of B now on hand. 8 can only be ordered in whole cases (100 units per case) and lead time is 1 week. The necessary parts of the MRP tables for A and C are shown below. Complete the MRP table for B. Bi2) C(4) Week Number Beg. Inv Master Schedule Quanti Beg. Inv Gross Requirements Planned-order receipts Planned-order releases Beg. Inv Gross Requirements Planned-order receipts Planned-order releases 300 300 Beg. Inv Gross Requirements Scheduled Receipts Projected on hand Net Requirements Planned-order receipts Planned-order releasesExplanation / Answer
Answer :
(a).
Projected on-hand inventory = (Beginning inventory or previous week on hand inventory) - (Forecast or Customer orders whichever is larger)
Note: If the projected on-hand inventory would be negative add the lot size (in this question it is 100) since we are using MPS scheduling
MPS is filled with the lot size allowed everytime the projected on-hand inventory is negative.
Available-to-promise is calculated with the help of forecast it represents how many units are available to meet the demand.
(b).
MRP Table for B
Planned order releases are adjusted 1 week before since the gross requirements actually indicate the number of units ready to be delivered.
May June 47 1 2 3 4 5 6 7 8 Forecast 25 25 25 25 30 30 30 30 Custormer Orders 18 34 27 12 1 3 0 0 Projected on-hand inventory 22 88 61 36 6 76 46 16 MPS 0 100 0 0 0 100 0 Available-to-promise - 74 - - - 97 - -Related Questions
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