Production and Operations Analysis, Seventh Edition
Production and Operations Analysis, Seventh Edition
7th Edition
ISBN: 9781478623069
Author: Steven Nahmias, Tava Lennon Olsen
Publisher: Waveland Press, Inc.
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Chapter 8.1, Problem 3P
Summary Introduction

Interpretation:The planned order release for the slide assemblies is to be determined.

Concept Introduction:

The optimal order policy is known as economic order quantity (EOQ) which is used to order the different quantities in such way that minimizes the holding cost and ordering cost.

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One unit of A is made of three units of B, one unit of C, and two units of D. B is composed of two units of E and one unit of D. C is made of one unit of B and two units of E. E is made of one unit of F. Items B, C, E, and F have one-week lead times; A and D have lead times of two weeks. Assume that lot-for-lot (L4L) lot sizing is used for Items A, B, and F; lots of size 55, 55, and 200 are used for Items C, D, and E, respectively. Items C, E, and F have on-hand (beginning) inventories of 10, 50, and 160, respectively; all other items have zero beginning inventory. We are scheduled to receive 10 units of A in Week 2, 60 units of E in Week 1, and also 50 units of F in Week 1. There are no other scheduled receipts. If 32 units of A are required in Week 8, use the low-level-coded bill of materials to find the necessary planned order releases for all components
One unit of A is made of three units of B, one unit of C, and two units of D. B is composed of two units of E and one unit of D. C is made of one unit of B and two units of E. E is made of one unit of F. Items B, C, E, and F have one-week lead times; A and D have lead times of two weeks. Assume that lot-for-lot (L4L) lot sizing is used for items A, B, and F; lots of size 50, 50, and 200 are used for Items C, D, and E, respectively. Items C, E, and F have on-hand (beginning) inventories of 10, 50, and 150, respectively; all other items have zero beginning inventory. We are scheduled to receive 10 units of A in week 2, 50 units of E in week 1, and also 50 units of F in week 1. There are no other scheduled receipts. If 30 units ofA are required in week 8, use the low-level-coded bill-of-materials to find the necessaryplanned-order releases for all components.
Assume you are the manager of Assembly Inc., you have just received an order for 40 units of an industrial robot, which is to be delivered at the start of week 7 of your schedule. Using the following information, determine the timing of subassembly G, given the subassembly G must be ordered in multiples of 80 units & all other components are ordered lot for lot. Assume that the components are used only for this particular robot. Item Lead time (ks) On Hand | Components Robot 2 10 B, G, C(3) 1 E, F 1 G(2), H 2 3 B C E F G H 2 1 5 20 4 8 15 10
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