Principles Of Operations Management
11th Edition
ISBN: 9780135173930
Author: RENDER, Barry, HEIZER, Jay, Munson, Chuck
Publisher: Pearson,
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Chapter 14, Problem 17P
Summary Introduction
To develop: A net materials requirement plan based on the actual inventory and new
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Additional problem 12-1 (Algo)
With a 0.02 percent chance of a stockout, what is the z-value to use in calculating safety stock? (Round your answer to two decimal
points.) Use Table B.2
Resulting Z-Value
6. The demand for a particular part called SKU 005 is 1,500 units a year. The cost of one SKU 005 is
$40.00. It costs $50.00 to place an order for SKU 005, and the user of SKU 005 has a per year
inventory carrying cost of 25% of unit cost. Assume 250 working days in the year where SKU 005
is used. (Noteshaper: Scenario #26)
а.
What is the combined annual holding and ordering cost of an order size of 200 units for
SKU 005?
b.
How many of SKU 005 should be ordered, to minimize combined ordering and holding
costs?
c. The vendor who sells SKU 005 has just offered a 5% discount for orders of 500 or more.
Now how many should be ordered?
d. Once the purchasing manager for SKU 005 places an order, the vendor requires 7
working days to deliver that order. What should be the purchasing manager's reorder
point?
Product A
Order Qty = 400
Order Lead Time = 2
Forecast Demand
Scheduled Receipts
Projected Available
Inventory
400
Planned Order Receipts
Planned Order Releases
1
300
OD 4, 6,
2
300
400
Sketch and fill in the grid on scrap paper to use on upcoming questions
In what periods would you incur a planned order release?
OA 1.3, and 4
2.4, and 5
OC 3,5, and 6
and 7
3
300
PERIODS
4
300
5
300
6
300
7
100
8
100
Chapter 14 Solutions
Principles Of Operations Management
Ch. 14 - Ethical Dilemma For many months your prospective...Ch. 14 - What is the difference between a gross...Ch. 14 - Prob. 2DQCh. 14 - What are the similarities between MRP and DRP?Ch. 14 - How does MRP II differ from MRP?Ch. 14 - Which is the best lot-sizing policy for...Ch. 14 - What impact does ignoring carrying cost in the...Ch. 14 - MRP is more than an inventory system; what...Ch. 14 - What are the options for the production planner...Ch. 14 - Master schedules are expressed in three different...
Ch. 14 - What functions of the firm affect an MRP system?...Ch. 14 - Prob. 11DQCh. 14 - Prob. 12DQCh. 14 - Prob. 13DQCh. 14 - Prob. 14DQCh. 14 - As an approach to inventory management, how does...Ch. 14 - Prob. 16DQCh. 14 - Use the Web or other sources to: a) Find stories...Ch. 14 - Prob. 18DQCh. 14 - Prob. 19DQCh. 14 - You have developed the following simple product...Ch. 14 - You are expected to have the gift bags in Problem...Ch. 14 - Prob. 3PCh. 14 - Your boss at Xiangling Hu Products, Inc., has just...Ch. 14 - The demand for subassembly S is 100 units in week...Ch. 14 - Prob. 6PCh. 14 - Prob. 7PCh. 14 - Prob. 8PCh. 14 - Prob. 9PCh. 14 - Prob. 10PCh. 14 - Prob. 11PCh. 14 - Prob. 12PCh. 14 - Prob. 13PCh. 14 - Prob. 14PCh. 14 - You are product planner for product A (in Problem...Ch. 14 - Prob. 16PCh. 14 - Prob. 17PCh. 14 - Heather Adams, production manager for a Colorado...Ch. 14 - Prob. 19PCh. 14 - Prob. 20PCh. 14 - Prob. 21PCh. 14 - Prob. 22PCh. 14 - Data Table for Problems 14.22 through 14.25 ...Ch. 14 - Develop a POQ solution and calculate total...Ch. 14 - Using your answers for the lot sizes computed in...Ch. 14 - M. de Koster, of Rene Enterprises, has the master...Ch. 14 - Grace Greenberg, production planner for Science...Ch. 14 - Prob. 28PCh. 14 - Prob. 29PCh. 14 - Prob. 30PCh. 14 - Courtney Kamauf schedules production of a popular...Ch. 14 - Using the data for the coffee table in Problem...Ch. 14 - Prob. 1CSCh. 14 - Prob. 2CSCh. 14 - Prob. 1.1VCCh. 14 - Prob. 1.2VCCh. 14 - Prob. 1.3VCCh. 14 - Prob. 2.1VCCh. 14 - Prob. 2.2VCCh. 14 - Prob. 2.3VC
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