The MPS planner at Synergy company uses MPS time-phased records for planning end

Question

The MPS planner at Synergy company uses MPS time-phased records for planning end-item production. The planner is currently working on a schedule for one of Synergy's top-selling products. The planner uses a production lot size of 50 and a safety stock of 5 for the product. He currently has 25 units of the product on hand. The sales forecast for the next eight weeks is: Week 1 2 3 4 5 6 7 8 Forecast 30 40 40 30 45 30 40 45 Prepare a time-phased MPS record showing the sales forecast and MPS for the products. What are the inventory balances at the end of each week?

Explanation / Answer

On hand inventory25(previous net requirement-forecast)

Week 1 2 3 4 5 6 7 8 Forecast 30 40 40 30 45 30 40 45

On hand inventory25(previous net requirement-forecast)

45 5 15 35 40 10 20 Safetystock 5 5 5 5 5 5 5 5 5 Gross requirement(forecast-onhand) 5 0 35 15 10 0 30 25 Net requirement 50 0 50 50 50 0 50 50

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