Question: Acme Inc. produces furniture, including chairs. Below is the BOM of one of their products (i.e. a chair). The number of parts needed are

Acme Inc. produces furniture, including chairs. Below is the BOM of one

Acme Inc. produces furniture, including chairs. Below is the BOM of one of their products (i.e. a chair). The number of parts needed are shown (e.g. We need 4 rails to make 1 leg assembly. At the present time, the inventories of parts and lead times are as follows: Chair On Lead Time Part Hand (wks) Chairs 100 1 Leg Assy Back Assy Seat Leg Assy. 50 2 Back Assy. 25 1 1 Seat 40 3 Rails 100 1 Rails Legs Top Spindles Legs 150 1 4 4 1 4 Tops 30 2 Spindles 80 2 The company would like to produce 600 chairs in week 5 and 300 chairs in week 6. 1 Assume all parts use the lot for lot (L4L) as their lots sizing technique. 1. Calculate the gross requirements and planned order releases for all items. (use a readable spreadsheet) 2. What actions should be taken by the planner once the material needs are calculated? 45

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

To solve this problem well follow these steps 1 Calculate Gross Requirements for All Items We need to determine how many parts are required to produce ... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!