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The MRP Department has a problem. Its computer "died" just as it spit out the following information: Planned order release for item J27 = 640 units in week 2. The firm, has been able to reconstruct all the information they lost except the master
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- Best-Appliance makes high-powered industrial strength microwave oven and wants to create an MRP for their oven assembly with a minimum cost possible. Following table show gross requirements of their product for twelve weeks. Develop a Part Period Balancing (PPB) solution and calculate the total relevant costs for the plan. Week Gross requirements 1 30 Week Gross requirements On-hand at beginning of week 40 On-hand at end of week Order receipt Order release Total relevant cost for this plan is = $ 2 3 30 1 30 4 2 5 40 70 20 Also, for this plan the Holding cost = $2.50/unit/week; setup cost = $200; lead time = 1 week; beginning inventory = 40 units. Use the table below to develop a PPB solution for MRP (enter your responses as whole numbers). 3 30 6 7 8 4 5 40 (enter your response as a whole number). 6 ॥ 70 9 10 70 7 20 10 11 8 D 12 50 9 10 11 12 10 70 50arrow_forwardExplain the two common inventory estimation methods, mentioning key similarities and differences between the two and use practical real-life scenarios to elaborate on each.arrow_forwardState the types of data that would be carried in the bill-of-materials i le and the inventoryrecord file.arrow_forward
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- Discuss why order-point systems aren’t compatible with MRParrow_forwardArrange a plan to order from the supplier using Part Period Balancing and Least Unit Cost method based on the data. Ordering lead time of the components is 1 period. Calculate the total cost of each method.arrow_forwardElectro Fans has just received an order for one thousand 20˝ fans due in week 7. Each fan consists of a housing assembly, two grills and a fan assembly. The housing assembly consists of a frame, two supports and a handle. The following table gives lead times, on-hand inventory, and scheduled receipts. Table 1.1: Lead time and quantity on hand Item Lead Time Qty on hand Lot size# Scheduled receipt 20˝ Fan Housing Frame Supports (2) Handle Grills (2) Fan Assembly 1 1 2 1 1 2 3 80 90 - 50 400 200* 150 - - - 100 400 450 - 50 fan assembly in week 2 * In week 3 it was found that 50% of the on hand inventory of the grills was damaged. # Items without any lot size given should be considered as lot-for-lot. (i) Construct a product structure. (ii) Construct a time-phased product structure. (iii) Prepare a net requirement plan.arrow_forward
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