The company Customer First A-to-Z uses a make to stock strategy. Product A is the company’s main product. The forecast for Product A, the accepted customer orders and the master production schedule is shown below. The company presently has 150 units on hand and a fixed master production schedule quantity of 80 units is used. Product A Forecast Customer Orders MPS Week Quantity Week Quantity Week Quantity 1 60 1 45 1   2 60 2 66 2 80 3 60 3 55 3   4 60 4 65 4   5 60 5 40 5   6 60 6 22 6   7 60 7 10 7   8 60 8 5 8   9 60 9 4 9   10 60 10 2 10   Required: A. Help the master production scheduler to fill in the master schedule calculation table shown below, by using the forecast, the customer orders and the planned production of product A.   1 2 3 4 5 6 7 8 9 10 Ft                     Dt                     EIt-1                     Pt                     EIt                     ATPt                     B. The marketing department has accepted an order from a regular customer for order of 60 units in week 6. Is this a feasible position the marketing department has taken? Explain your answer.

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter9: Decision Making Under Uncertainty
Section: Chapter Questions
Problem 46P
icon
Related questions
Question

The company Customer First A-to-Z uses a make to stock strategy. Product A is the
company’s main product. The forecast for Product A, the accepted customer orders
and the master production schedule is shown below. The company presently has
150 units on hand and a fixed master production schedule quantity of 80 units is
used.

Product A Forecast Customer Orders MPS
Week Quantity Week Quantity Week Quantity
1 60 1 45 1  
2 60 2 66 2 80
3 60 3 55 3  
4 60 4 65 4  
5 60 5 40 5  
6 60 6 22 6  
7 60 7 10 7  
8 60 8 5 8  
9 60 9 4 9  
10 60 10 2 10  

Required:
A. Help the master production scheduler to fill in the master schedule calculation
table shown below, by using the forecast, the customer orders and the planned
production of product A.

  1 2 3 4 5 6 7 8 9 10
Ft                    
Dt                    
EIt-1                    
Pt                    
EIt                    
ATPt                    

B. The marketing department has accepted an order from a regular customer for
order of 60 units in week 6. Is this a feasible position the marketing department
has taken? Explain your answer.

Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 5 steps with 8 images

Blurred answer
Knowledge Booster
Introduction to Forecasting
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, operations-management and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Practical Management Science
Practical Management Science
Operations Management
ISBN:
9781337406659
Author:
WINSTON, Wayne L.
Publisher:
Cengage,
Purchasing and Supply Chain Management
Purchasing and Supply Chain Management
Operations Management
ISBN:
9781285869681
Author:
Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:
Cengage Learning