Morrison Electronics forecasted the following demand for one of its products for the next 8 weeks: 70, 70, 65, 60, 55, 85, 75, and 85. The booked customer orders for this product starting in week 1 are 50, 60, 55, 40, 35, 0, 0, and 0 units. The current on-hand inventory is 100 units, the order quantity is 150 units, and the lead time is one week.
a. Develop an MPS for this product.
b. The marketing department at Morrison revised its forecasts. Starting with week 1, the new forecasts are 70, 70, 75, 70, 70, 100, 100, and 110 units. Assuming that the prospective MPS you developed in part (a) does not change prepare a revised MPS record, Comment on the situation that Morrison now faces.