Explain the relationship between priority versus capacity that must exist within the production planning and control area of an industry.
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Explain the relationship between priority versus capacity that must exist within the production planning and control area of an industry.
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- 9. Which level of capacity management process involves stating the capacity requirements to satisfy the total demand, period by period, for product groups. a. master scheduling b. short-term scheduling c. aggregate planningDefine capacity and priority. Why are they important in production planning?Understand the main differences between the expansionist and wait-and-see capacity timing and sizing strategies.
- How do the concepts of master production scheduling and material requirements planning translate to a service organization? Provide an example.Give an example of capacity requirement planningRipeka, the warehouse manager at Hine would like to update the company’s inventory locator system so that the picking operation can be streamlined. While conceptually simple to do, she knows that there will be several steps to the update process that will have to be carefully managed. She needs to complete upgrade and train her staff in operating the new system before the busy season, which is only 4 months away. She identifies the various activities, expected time duration, predecessors and costs, as shown in the table. Identify the project cost. Ripeka is interested to complete the project three weeks early before starting the busy season. How much additional cost the project will incur for completing the project three weeks early?
- Ripeka, the warehouse manager at Hine would like to update the company’s inventory locator system so that the picking operation can be streamlined. While conceptually simple to do, she knows that there will be several steps to the update process that will have to be carefully managed. She needs to complete upgrade and train her staff in operating the new system before the busy season, which is only 4 months away. She identifies the various activities, expected time duration, predecessors and costs, as shown in the table. Draw the AON Network, and then determine the critical path. [Show your workings, using the grid network.] Identify the project duration – is this project feasible within the required timeframe?What exactly is capacity requirements planning (CRP)?Michele Platini and Diego Maradona, planners for a company that makes several models of footballs are about to prepare the capacity plan that will cover six periods. They have assembled the following information. Period 1 2 3 4 5 6 Total Forecast 250 300 350 400 500 250 2,050 They intend to start with zero inventory on hand in the first period, and their production rate is 300 units per period. Use overtime at a fixed rate of 15 units per period as needed. Use subcontracting at a maximum rate of 50 units per period if needed. Plan for an ending inventory of zero for period 6. Backorders cannot exceed 60 units per period. Compute the total cost of the plan. ok first question: Prepare the capacity plan as below using the level strategy. First: Use the table below to prepare the capacity plan using the level strategy. Period 1 2 3 4 5 6 Total Forecast…
- Michele Platini and Diego Maradona, planners for a company that makes several models of footballs are about to prepare the capacity plan that will cover six periods. They have assembled the following information. Period 1 2 3 4 5 6 Total Forecast 250 300 350 400 500 250 2,050 They intend to start with zero inventory on hand in the first period, and their production rate is 300 units per period. Use overtime at a fixed rate of 15 units per period as needed. Use subcontracting at a maximum rate of 50 units per period if needed. Plan for an ending inventory of zero for period 6. Backorders cannot exceed 60 units per period. Compute the total cost of the plan. a) Prepare the capacity plan as below using the level strategy. Period 1 2 … 6 Total Forecast Production: Regular … Overtime … Subcontracting … Output-Forecast…For capacity planning, how may a spreadsheet be utilized?WSS company makes weatherproof surveillance systems for parking lots. Demand estimates for the next four quarters are 25, 9, 13, and 17 units. Prepare an aggregate plan that uses inventory, regular time, and over time, and backorders. Subcontracting is not allowed. The regular time capacity is 15 units for quarters 1 and 2, 18 units for quarters 3 and 4. Overtime capacity is 3 units per quarter. The regular time cost is $2000 per unit, while the overtime cost is $3000 per unit. Backorder costs $300 per unit per quarter; inventory holding costs $100 per unit per quarter. The beginning inventory is zero. How many total units will be produced in quarter 1 for delivery in quarter 1? How many units in total will be used to fill back orders over the four quarters? What is the cost to produce one unit in Quarter 4 using overtime to fill a back order in quarter one?