Analyze the trade-off between overtime costs and inventory costs.d. The lot size of 1,000 for sub-assemblies has produced a lumpy Develop an MRP for Space Age Furniture Company using the Include any Materials Requirement Planning (MRP) calculations:a. Process.Ed Szewczak earns $22 per hour and gets aĮach subassembly in inventory is $0.75 per unit per week.Respond to the following and Products.Part 3079 may be produced in any quantity These two items for the next six weeks is shown below.MasterScheduleWeek123456Gemini600400700500400600Saturn300400400600300300The part in question, 3079, is used in two Necessary parts on time.Coral Snodgrass, operations manager forĭone to alleviate this problem.Recently, Space Age began using an MRP Space Age Furniture CompanyThe Space Age Furniture Company Recommend any changes that might be beneficial to the company Describe ways that management can keep track of job status and Compare and contrast the types of production processingjob shop,īatch, repetitive, or continuousand determine which the primary mode ofį. Calculate a new MRP that improves the base MRP.Į. Analyze the trade-off between overtime costs and inventory costs.ĭ. Suggest ways for improvements over sub-assemblies in lotĬ. The lot size of 1,000 for sub-assemblies has produced a lumpyĭemand for part 3079.
Information in the case including the production of sub-assemblies in lot sizesī. Include any Materials Requirement Planning (MRP) calculations:Ī. The cost of holdingĮach subassembly in inventory is $0.75 per unit per week. To hold any of these parts over from one week to the next. Set-up time, but processing takes 0.03 hour per unit. There is not any on-hand inventory of part 3079, and there are no orders inĮd Szewczak earns $22 per hour and gets aĥ0% premium for any overtime work. Inventory is expected to be on hand for either part at the beginning of week 1. Lead time for both these subassemblies is one week, and no
Subassembly 435 is due to be received in week 1, as is an order for 1,000 of Minimum quantities of 1,000 at a time, although there is no problem withĬapacity on the equipment that makes them. Over time, Space Age has decided that these subassemblies should be made in The subassemblies are produced using the same equipment. Since the lathe that makes it is not used for anything else. Part 3079 may be produced in any quantity One of part 3079 is used inĮach subassembly, and one of each subassembly is used in each of the final
Space age furniture mrp table tv#
435, which is used in the Gemini TV stand, and no.Ģ57, which is used in the Saturn microwave stand. The part in question, 3079, is used in twoĭifferent subassemblies: no. These two items for the next six weeks is shown below. That it cost $1.25 per week to store each Gemini and $1.50 per week to storeĮach Saturn that wasn’t shipped immediately. Instead,Įverything in the master schedule is being produced for customer orders, so all In fact, Space Age carries no finished-goods inventory. System that has helped reduce inventories greatly and improve on-timeĭeliveries. Skilled machinists with Ed’s experience andĮmployment record are extremely difficult to find. As Coral knows, Ed has been with the company a long time and Space Age, has just heard from Ed’s foremen that Ed is becoming unhappy about Necessary to schedule frequent overtime for him in order to finish the However, due to the workload for producing part 3079, it has been (even if not actually attending the machine) any time one of the machines, Who also operates other machines in Space Age’s shop. At present the machine is run by Ed Szewczak, a machinist 3079) that requires machining on a special lathe used However, two of these productsthe Saturn microwave stand and the Gemini TV These products are made in various sizes and with variousįeatures, but all follow basically the same production and assembly operations.
Space age furniture mrp table portable#
Manufactures tables and cabinets to hold microwave ovens and portable
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