Question

Use the following three MPS's constructed by the master production scheduler of the company to answer the questions related to this problem. Explain all your answers! 6 30 30 20 20 20 Forecast Orders 10 30 20 IPAB l s | 25 | -5 | 20 | O-30- 60 I. 50 ATP 5 50 50 MPS 50 50 5 6 II. Forecast 30 30 25 20 20 20 Paragraph Orders РАВ ATP MPS 30 20 45 20 5050 10 25 30 50 50 20 0 10 Forecast 30 30 25 20 20 20 Orders 40 10 IL. PAB 5 ATP 50 MPS 50 50 50 50 a) Can you say what are the problems shown in the MPS tableau I that have been corrected in the tableau II? The MPS tableau II was used to decide when to ship a new customer order for 4 items b) i. Can you say from MPS tableau III for when this new order was committed? ii. Can ii. If the lead-time is 3 weeks, what must the master production scheduler do if Assume that partials are accepted by the customer you guess what the lead-time of the product is? Justify your answer. he she is pursuing this plan? Complete the MPS tableau III. The master production scheduler decided to correct the problems with the MPS (tableau I) before accepting the customer order for 45 units. Do you think that this was the right approach or should have he she accepted the order first and then fix the MPS? This is an open ended question; you must justify your answer. c) d)

Answer 1

Ans to Qn. a)

As seen in Table 1, in the second period the Projected Available Balance (PAB) stands as negative 5, which means that the produce/orders in not sufficient to meet the demand requirement in period 2, in case demand follows the forecasts. The same has been rectified in Table II by placing the orders (MPS) in period 2 itself for the 50 lot size of the materials(assumption).

Ans to Qn. b)

i) As per Table II a new order or 45 units can be promised to a customer even if the company does not hold that quantity. As the shipment can take place in installments, and partial orders are accepted by the customer, it becomes difficult to place exactly which period was it in which the order was accepted. However, given the data in Table II, periods 3,4 & 6 can be ruled out.

ii) Lead time of the product is zero period. The order placed in periods 1 & 2 were received immediately, and the one placed in period 5 received in period 5 itself.

ii) If the lead time is 3 weeks, then the MPS should place orders based on forecasted demands, 3 weeks from the current period. In essence it means that the MPS should start from -2 periods to incorporate the complete plan on the materials.

Ans to Qn. c)

Table I Forecast Orders PAB ATP MPS 30 30 30 10 0 30 Table II Forecast Orders PAB ATP MPS 30 30 30 10 10 0 30 Table III Forecast Orders PAB ATP MPS (Assumed 1 week lead time and 1 pending order receivable in period 1) 30 30 10 10 0 0 0 30