Quiz for MRP (46pts total)
Fall 2001
Name ________________________________
ID ___________________________________
______ In the MRP process, the gross requirement of
the finished product is derived from
a. demand forecast of the components
b. demand forecast of its parent product
c. the master production schedule of itself
d. planned order release of its components
I. Concept Questions (26pts)
______ Aggregated planning is a production planning
for
a. a product family
b. an individual product
c. components of a product
d. all of the above
______ Demand of a finished product is usually
considered as dependent demand.
______ Which of the following is NOT an input of
MRP?
a. Master production schedule
b. Bill of material
c. Lead time information
d. Planned order release
e. Inventory master file
______ Low level coding means
a. that a final item has only a few levels in the BOM
structure
b. that a component item is coded at the lowest level
at which it appears in the BOM structure
c. the code for the lowest level in the BOM structure
d. all of the above
e. none of the above
______ One advantage of using MRP is that lot
sizing need not be considered.
______ One disadvantage of using MRP is that the
schedules of components are sensitive to changes of
the schedule of the finished product. Frequent
changes of schedules will cause system nervousness.
II. Calculations (19 points)
______ Work orders and purchase orders are
examples of planned order release.
______ Which of the following questions does timephased product structure answer for each component?
a. When to order/produce?
b. How many to order/produce?
c. Both (a) and (b)
d. Where to order/produce
______ Planned order release is nothing but the
planned order receipt offset by lead time.
______ The planned order receipt should always be
set equal to net requirement.
______ Lot for lot (L4L) means
a. Setting net requirement equal to gross requirement
b. Setting planned order receipt equal to net
requirement
c. Setting planned order release equal to gross
requirement
d. Setting planned order receipt equal to gross
requirement
______ Lot for lot policy is cost effective if the setup
cost is high and the holding cost is relatively low.
Problem 1. (10 pts) Consider the BOM for the final
product A:
A
|
--------------------------------------------C(3)
B(3)
D(2)
|
----------------------C(3)
D(2)
Based on the following ADDITIONAL information,
determine the planned-order-release using Lot-for-Lot
policy for final product A and components B and C
using the tables provided on the next page
(1) The master production schedule for product A
Period
Gross
Req
7
30
8
20
9
50
10
40
(2) The lead time information for each component
and the finished product
Item
Lead T.
A
1
B
2
C
3
D
2
(3) The inventory on hand and scheduled receipts for
each components:
Item
A
Inv. on
Hand
20
B
30
C
10
D
0
Sch.
Receipts
20 at
Period 3
50 at
Period 2
60 at
Period 6
0
Problem 2. (8pts) The net requirements for a
component is given by the following table:
Period
Net Req
1
8
2
14
3
10
4
12
5
5
6
15
b. (3pts) What is the total cost associated with the
PPB lot-sizing policy in (a) for the above 6 period?
Show you calculation in order to get partial credit.
Suppose the setup cost = $60/setup, inventory holding
cost = $2/unit/period.
a. (5pts) Determine the planned-order receipts based
on the Part Period Balancing rule. Write your answer
in the following table:
Period
1
2
3
4
5
6
Net Req
8
14
7
12
5
15
PO Rec.
Inventory
Show your calculations to get partial credit.
c. (2pts) What would be the total cost associated with
the lot-for-lot policy?
Item
Infor
A
Item
Infor
B
Item
Infor
C
1
2
3
4
5
6
7
8
9
10
1
2
3
4
5
6
7
8
9
10
1
2
3
4
5
6
7
8
9
10
Gross
Requirements
Scheduled
Receipts
Projected on
hand
Net
Requirements
Planned-order
Receipts
Planned-order
Releases
Gross
Requirements
Scheduled
Receipts
Projected on
hand
Net
Requirements
Planned-order
Receipts
Planned-order
Releases
Gross
Requirements
Scheduled
Receipts
Projected on
hand
Net
Requirements
Planned-order
Receipts
Planned-order
Releases