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Operations Management

Given the product structure tree and inventory status report above, and the blank MRP schedule form, answer the following 2 questions. [The Spares Demand represents independent demand for items, which will add to any dependent demand you compute. The demand for the end item is shown on the MRP form sheet.] You must show your work on the MRP worksheet.

a). What is the correct planned order release for item C in week 3? (Note the lot size
rule given here.)
Answer: _______________________

b) What is the correct gross requirement for item B in week 5?
Answer: _______________________

See attached file for full problem description.


Solution Preview

a.) In order to answer this problem, you need to fill out the MRP Record Form for A and C. You know you'll need 50 of item A in week 6. You already have 10 on hand. That means that, in order to fill the order in week 6, you'll need to have 40 more of A ready by then.
<br>Item A requires 1 week to make once all of its constituent ...