One of Marty€™s partners, Ann, has organized information on lead times, inventory on hand, and lot- sizing rules (established by suppliers): Scheduled receipts are After the dot-com business he tried to start folded, David €œ Marty€ Dawkins decided to pursue his boyhood dream of owning a bike factory. After several false starts, he finally got the small company up and running. The company currently assembles two models Marty designed: the Arrow and the Dart. The company hasn€™t turned a profit yet, but Marty feels that once he resolves some of the problems he€™s having with inventory and scheduling, he can increase productivity and reduce costs. At first, he ordered enough bike parts and subassemblies for four months€™ worth of production. Parts were stacked all over the place, seriously reducing work space and hampering movement of workers and materials. And no one knew exactly where anything was. In Marty€™s words, €œIt was a solid mess!€

One of Marty€™s partners, Ann, has organized information on lead times, inventory on hand, and lot- sizing rules (established bysuppliers):

Transcribed Image Text:

Item Arrow Dart Lead Time (weeks) On Hand Lot-Sizing Rule 5 Lot-for-lot 2 Lot-for-lot 5 Multiples of 25 2 Multiples of 12 10 Multiples of 30 3 Lot-for-lot 15 Multiples of 30 0 Lot-for-lot LT 3 weeks for orders of 36 or more units on this item.