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    Forecasting Case (Computer Assembly Manufacturer)

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    Can someone assist me with this problem? I have no idea where to even begin?

    Here is the problem with the table attached.

    A computer assembly manufacturer is planning the production and the inventories for several of its best-selling computer models for the next few weeks. The production manager knows that they cannot afford to be out of stock on some of the key components that go into the computers. Therefore, they would need to plan for the demand of key components. They would also have to communicate to the component suppliers about how much of each component they would need in a given week. For the initial analysis, the production manager is focusing on the top four critical components: the CPU, the hard drive, the multimedia drive, and the speakers. Below is the resulting bill of materials (BOM) for the computer:

    Computer - (1) CPU, (2) hard drives, (2) multimedia drives, and (3) speakers

    The current planning is for the next six weeks. Click here to view the tables that show the demand and other information for the computer and the four key components.

    The manager needs to analyze the numbers and determine the procurement quantities that they need to communicate to their suppliers for each of the four key components in each of the next six weeks.

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    Solution Preview

    Dear Student,

    Thank you for using BM.
    Below are my answers.

    Anna Liza Gaspar

    Please see attached file for answers.

    This is what I did:
    1. compute the gross requirements for each of the 4 items by multiplying their BOM ...

    Solution Summary

    This solution shows step-by-step calculations to provide a forecasting analysis for the computer assembly manufacturer. Using the resulting bill of materials, a forecasting of demand is calculated using the four key components of the computer.