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 6.9, Problem 25P
Summary Introduction
Interpretation:Explain the benefitof the ‘principle of postponement’ which can accrue to an automobile manufacturer having two models with different engines.
Concept Introduction:Postponement is a practice to delay (postpone) investing in one or more supply items till a predetermined time/event. This reduces/delays the extent of investment of money and space as far as practical to maximize profits.
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Many automobiles can be ordered in one of two engine sizes (examples are theLincoln LS, the Lexus Coupe, and the Jaguar S Type) but are virtually identical inevery other way. How might these automakers use the concept of postponement intheir production planning?
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Rockit Electronics manufactures a line of digital blue ray players. The player is made from one subassembly of B and one subassembly of C. B is made of three units of D and two of E. C is made of two units of F and two of E.The blue ray has a lead time of one week. B, C, and E have lead times of two weeks, and D and F have lead times of three weeks.As the production manager, you need to figure out the MRP planning schedule.
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Chapter 6 Solutions
Production and Operations Analysis, Seventh Edition
Ch. 6.2 - Prob. 1PCh. 6.2 - Prob. 2PCh. 6.2 - Prob. 3PCh. 6.2 - Prob. 4PCh. 6.2 - Prob. 5PCh. 6.2 - Prob. 6PCh. 6.2 - Prob. 7PCh. 6.2 - Prob. 8PCh. 6.5 - Prob. 10PCh. 6.5 - Prob. 11P
Ch. 6.5 - Prob. 12PCh. 6.5 - Prob. 13PCh. 6.5 - Prob. 14PCh. 6.5 - Prob. 15PCh. 6.5 - Prob. 16PCh. 6.6 - Prob. 17PCh. 6.6 - Prob. 18PCh. 6.6 - Prob. 19PCh. 6.6 - Prob. 20PCh. 6.6 - Prob. 21PCh. 6.9 - Prob. 22PCh. 6.9 - Prob. 24PCh. 6.9 - Prob. 25PCh. 6.9 - Prob. 26PCh. 6.9 - Prob. 27PCh. 6.9 - Prob. 28PCh. 6.9 - Prob. 29PCh. 6.9 - Prob. 30PCh. 6.9 - Prob. 31PCh. 6.10 - Prob. 34PCh. 6.11 - Prob. 37PCh. 6.11 - Prob. 38PCh. 6.11 - Prob. 39PCh. 6.11 - Prob. 41P
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- ecently, Phil Harris, the production control manager at Brunswick, read an article on time-phased requirements planning. He was curious about how this technique might work in scheduling Brunswick's engine assembly operations and decided to prepare an example to illustrate the use of time-phased requirements planning. Phil's first step was to prepare a master schedule for one of the engine types produced by Brunswick: the Model 1000 engine. This schedule indicates the number of units of the Model 1000 engine to be assembled each week during the last 12 weeks and is shown on the next page. Next, Phil decided to simplify his requirements planning example by considering only two of the many components that are needed to complete the assembly of the Model 1000 engine. These two components, the gear box and the input shaft, are shown in the product structure diagram below. Phil noted that the gear box is assembled by the Subassembly Department and subsequently is sent to the main engine…arrow_forwardMaster production schedule is a medium-range planning and it is used for quantity and timing of components and raw material Finished goods Both A & Barrow_forwardPrepare a disaggregation schedule for the following situation. The forecast for each period is 700 units. The starting inventory is zero. The MPS rule is to schedule production of the projected inventory on hand is negative. The production lot size is 1000 units. The following table shows committed orders. Frozen Period is the first period. Period 1 2 3 4 5 Committed Order 800 500 300 100 500arrow_forward
- Problem 6 Part A:Available to promise in period 4 = 50Problem 6 Part B:PAB in period 7 = 35 In part A, the only thing that you need to do is to calculate the ATP in periods 1,4,5, and 7. In part B, remember that you are rolling through time. The part B solution spreadsheet starts with time period 2 and period 1 is now history. For the part B, you must capture all of the events that occurred during week 1. For example, I gave you that the beginning PAB is 45. If you had 20 in stock (from part A), you produced 50 as planned in period 1, and the actual demand for period 1 was 25, then the beginning PAB (your stock quantity) is 20+50-25=45. The forecast and MPS quantities will not change from part A to part B. After you accept each of the orders (simply add the new order quantities to the existing customer order quantities in the correct time bucket), you will then recalculate the PAB, and then recalculate the ATP.arrow_forwardHow does Material Requirement Planning help organizations balance inventory carrying costs with the risk of stockouts and production delays?arrow_forwardRefer to the data in Problem 6, If backorders are allowed, Costs Productiondetermine the total cost of a plan if overtime is limited to Regular Time $ 40.00 per unit Regular 60040 units per month and subcontracting is limited to Overtime $ 60.00 per unit Overtime 4020 units per month. Backordering costs are $30 per unit. Subcontracting $ 80.00 per unit Subcontracting 20Holding $ 10.00 per unit per monthBack Order $ 30.00 per unitMonth Forecast1 5702 6003 6304 6505 6706 690Totalsarrow_forward
- It is Monday morning, and you have just arrived at work. Complete the followingMRP record as it would appear Monday morning. Lead time is 2 weeks, and the lotsize is 100. During the week, the following events occur. Enter them in the MRP record.a. The planned order for 100 in week 1 is released.b. Thirty of the scheduled receipts for week 1 are scrapped.c. An order for 30 is received for delivery in week 3.d. An order for 50 is received for delivery in week 6.e. The gross requirements of 70 in week 1 are issued.arrow_forwardPlanning orders using a lot-for-lot (L4L) technique is commonly done because it is simpleand intuitive. It also helps to minimize holding costs as you are only ordering what isneeded when it is needed. So far it sounds like a good idea. Are there any disadvantagesto this approach?arrow_forwardThe total planned expenditures is called as aggregate demand Select one: True Falsearrow_forward
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