The following table lists the components needed to assemble an end item, lead ti

Question

The following table lists the components needed to assemble an end item, lead times, and quantities on hand. End 1 0 Item LT (wk) Amount on hand B 3 10 ONO D 2 25 E 2 11 F 1 323 -T G 2 -I H 1 0 End Item B (2) D (3) E (2) F(3) G (2) E (2) (4) E (2) a. If 18 units of the end item are to be assembled, how many additional units of E are needed? (Hint: You don't need to develop an MRP plan to determine this.) Additional units b. An order for the end item is scheduled to be shipped at the start of week 14. 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 for this part either.) The latest week

Explanation / Answer

a)

B: 18 x 2 = 36 – 10 = 26

E: 26*2 = 52

C: 18 x 1 = 18 – 9 = 9

E: 9*2 = 18

D: 18 x 3 = 54 – 25 = 29

E: 29*2 = 58

Total E’s = 52+18+58 = 128

Additional E’s needed = 128-11 = 117

Additional E’s needed = 117

b)

We find Total lead time for each sequence

End item-B-E = 1+3+2 = 6

End item-B-F = 1+3+1 = 5

End item-C-G = 1+2+2 = 5

End item-C-E = 1+2+2 = 5

End item-D-H = 1+2+1 = 4

End item-D-E = 1+2+2 = 5

The longest sequence is 6 weeks. Week 14 – 6 weeks = Week 8

The latest week = 8

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