Principles Of Operations Management
11th Edition
ISBN: 9780135173930
Author: RENDER, Barry, HEIZER, Jay, Munson, Chuck
Publisher: Pearson,
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Textbook Question
Chapter 14, Problem 26P
M. de Koster, of Rene Enterprises, has the master production plan shown below:
Lead time = 1 period; setup cost = $200; holding cost = $10 per week; stockout cost = $10 per week. Your job is to develop an ordering plan and costs for:
a) Lot-for-lot.
b) EOQ.
c) POQ.
d) Which plan has the lowest cost?
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Students have asked these similar questions
Using the gross requirements schedule below*, prepare an alternative ordering system that orders every 3 weeks for 3 weeks ahead (a periodic order quantity). What is the cost of this
ordering system?
Period
1 2 3 4 5 6 7
Gross requirements 25 20 40 0 10 50 30
The cost of this ordering system is $
Prepare a net requirements plan (enter your responses as whole numbers).
*Holding cost = $1/unit/week; setup cost = $200; lead time = 1 week; beginning inventory = 25 units.
Period
Gross requirements
On-hand at beginning of period
On-hand at end of period
Net requirements
Order receipt
Order release
(enter your response as a whole number).
25
1
25
2
20
3
40
4
5
0 10
8
0
6
50
9 10
30 65
7
30
8 9 10
0
30 65
The annual demand of Bulldogs Inc. sole product totaled 450,000 units. Due to uncertainty in supply of items, the maximum possible lead time for the orders is 2 weeks and 1 day. A safety stock of 6,250 units is determined. What is the normal lead time? (Use 360 days)
A. 10 days
B. 9 days
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D. 1 week
Demand for chicken soup at a supermarket is always 25 cases a day and the lead time is always 4 days. Theshelves were just restocked with chicken soup, leaving an on-hand inventory of only 10 cases. No backorderscurrently exist, but there is one open order in the pipeline for 200 cases. What is the inventory position? Shoulda new order be placed?
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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