Operations Management
11th Edition
ISBN: 9780132921145
Author: Jay Heizer
Publisher: PEARSON
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Textbook Question
Chapter 14, Problem 8DQ
What are the options for the production planner who has:
- a.
scheduled more than capacity in a work center next week? - b. a consistent lack of capacity in that work center?
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Defintion of the word "what-if" For capacity planning, how may a spreadsheet be utilized?
Why do organisation have to do aggregate planning ?
Jose Martinez of El Paso had developed a polished stainless-steel tortilla machine that makes it a “showpiece” for display in Mexican restaurants. He needs to develop a 5-month aggregate plan. His forecast of capacity and demand follows:
Month
1
2
3
4
5
Demand
150
160
130
200
210
Regular capacity
150
150
150
150
150
Overtime capacity
20
20
10
10
10
Subcontracting: 100 units available over the 5-month period (NOT 100 units each month)
Beginning inventory: 0 units
Ending inventory required at the last month (i.e. month 5): 20 units.
Costs
Regular-time cost per unit
$100
Overtime cost per unit
$125
Subcontracting cost per unit
$135
Inventory holding cost per unit per month
$3
Assume that backorders are not permitted.
a) Find an aggregate production plan using the intuitive lowest cost approach. (i.e. Develop an aggregate plan using the transportation method).
b) State the corresponding…
Chapter 14 Solutions
Operations Management
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 - Identify five specific requirements of an...Ch. 14 - What are the typical benefits of ERP?Ch. 14 - What are the distinctions between MRP, DRP, and...Ch. 14 - As an approach to inventory management, how does...Ch. 14 - What are the disadvantages of ERP?Ch. 14 - Use the Web or other sources to: a. Find stories...Ch. 14 - Prob. 18DQCh. 14 - Use the Web or other sources to identify what an...Ch. 14 - You have developed the following simple product...Ch. 14 - You are expected to have the gift bags in Problem...Ch. 14 - The demand for subassembly S is 100 units in week...Ch. 14 - Using the information in Problem 14.3, construct a...Ch. 14 - Using the information in Problem 14.3, construct a...Ch. 14 - Refer again to Problems 14.3 and 14.4. In addition...Ch. 14 - Refer again to Problems 14.3 and 14.5. In addition...Ch. 14 - As the production planner for Scott Sampson...Ch. 14 - Prob. 9PCh. 14 - a. Given the product structure and master...Ch. 14 - Prob. 11PCh. 14 - Based on the data in Figure 14.13, complete a net...Ch. 14 - Prob. 13PCh. 14 - A part structure, lead time (weeks), and on-hand...Ch. 14 - You are product planner for product A (in Problem...Ch. 14 - Prob. 16PCh. 14 - Data Table for Problems 14.17 through 14.20 14.17...Ch. 14 - Develop an EOQ solution and calculate total...Ch. 14 - Develop a POQ solution and calculate total...Ch. 14 - Using your answers for the lot sizes computed in...Ch. 14 - Prob. 21PCh. 14 - Grace Greenberg, production planner for Science...Ch. 14 - Karl Knapps, Inc., has received the following...Ch. 14 - Coleman Rich, Ltd., has received the following...Ch. 14 - Prob. 25PCh. 14 - Prob. 26PCh. 14 - Using the data for the coffee table in Problem...Ch. 14 - When 18,500 Orlando Magic Fans Come to Dinner...Ch. 14 - When 18,500 Orlando Magic Fans Come to Dinner...Ch. 14 - When 18,500 Orlando Magic Fans Come to Dinner...Ch. 14 - MRP at Wheeled Coach Video Case Wheeled Coach, the...Ch. 14 - MRP at Wheeled Coach Video Case Wheeled Coach, the...Ch. 14 - MRP at Wheeled Coach Video Case Wheeled Coach, the...
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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
- Develop a chase aggregate plan for Draper using apermanent workforce of 12 employees supplemented by overtime.All demand must be met each period.(a) Show what would happen if this plan were implemented.(b) Calculate the costs associated with this plan.(c) Evaluate the plan in terms of cost, customer service,operations, and human resources.arrow_forwardWhat is capacity requirements planning? At what level of the priority planning process does itoccur?arrow_forwardWhen would you use chase strategy in aggregate capacity planning? What is included in the plan?arrow_forward
- Define capacity and priority. Why are they important in production planning?arrow_forwardJAYB, manager of a Fabrication company, has the following aggregate demand requirements and other data for the upcoming four quarters. Table 5: Forecast and cost information [Jadual 5: Maklumat Ramalan dan kos] Quarter [Suku] Demand [Permintaan] Previous quarter's output [Keluaran suku sebelumnya] 1,500 units 1 1,400 Beginning inventory [Inventori awal] 200 units 2 1,000 Hiring workers [Pengambilan pekerja] RM6 per unit 3 1,500 Laying off workers [Pembuangan pekerja] RM11 per unit 4 1,300 Unit cost [Kos unit] RM30 per unit With the information given, JAYB wants you to calculate the total cost of using chase strategy by hiring and layoff workers.arrow_forwardWhat are the options available for the production manager when there is a consistent lack of capacity in a particular work center ?arrow_forward
- 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 overtime and back orders. Subcontracting is not allowed. 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. Regular time cost is $2000 per unit, while overtime cost is $3000 per unit. Back order cost is $300 per unit per quarter; inventory holding cost is $100 per unit per quarter. Beginning inventory is zero. Questions At the end of quarter 3, what is the ending inventory of finished systems? Answer: No ending Inventory =0 What is the total cost? 15*2000 + 6*2300 +4*2600 + 9*2000 + 13*2000 + 17*2000 =$132, 200 What is the average cost per unit? Answer 132200 / 64 = $2,066.arrow_forwardAn end item’s demand forecasts for the next 10 weeks are 30,20, 35, 50, 25, 25, 0, 40, 0, and 50 units. The current on-handinventory is 80 units. The order policy is to produce in lots of100. The booked customer orders for the item, starting withweek 1, are 22, 30, 15, 9, 0, 0, 5, 3, 7, and 0 units. At present,no MPS quantities are on-hand for this item. The lead time is2 weeks. Develop an MPS for this end item.arrow_forwardA phone production company must prepare the production planning for the next 9 weeks. Complete the below table considering this information: Lead Time = 3 Weeks On-hand inventory of 52 phones from week 1. Receipt from an outside supplier of 15 phones at start of week 7 We need to supply 75 phones on week 4. We need to supply 120 phones on week 9. Product A Week 1 2 3 4 5 6 7 8 9 Gross Requirement On-hand inventory Planned orderarrow_forward
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