Question: 1 . What do you think should happen if you were asked to allocate some inventory for R&D , but by doing so you would

1. What do you think should happen if you were asked to allocate some inventory for R&D, but by doing so you would drop below safety stock levels?
2. Product Y is made from one component P, three components Q, and two components R. P is made from two part S, Q is made from S, and R is made from two part S and three part T. Other data inclues:
Part Lead Time Lot size On-hand Scheduled Receipts Safety stock
Y 1 lot-for-lot 30 none 5
P 24015 none none
Q 21008 none 8
R 312030 none none
S 250020500, week 120
T 2600370 none 50
a. Complete the MRP explosion for product Y. Identify any problems and discuss possible solutions.
b. The supplier for part S informs you that the sheduled reeipt for that par will be 1 week lae. What problems does it cause and what possible alternatives are open to you?

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