Question: An end items demand forecasts for the next 6 weeks are 28 units, followed by forecasts of 24 units for weeks 7 through 10. The
An end items demand forecasts for the next 6 weeks are 28 units, followed by forecasts of 24 units for weeks 7 through 10. The current on-hand inventory is 60 units. The order policy is to produce in lots of 80. The booked customer orders for the item, starting with week 1, are 22, 30, 15, 11, 0, 0, 9, 0, 12, and 0 units. The lead time is 2 weeks.
- Develop an MPS for this end item.
- The marketing department has received six orders for this item in the following sequence:
Order 1 is for 40 units to be delivered in period 3
Order 2 is for 60 units to be delivered in period 4
Order 3 is for 45 units to be delivered in period 6
Order 4 is for 35 units to be delivered in period 3
Order 5 is for 20 units to be delivered in period 5
Order 6 is for 65 units to be delivered in period 9
Assuming that the prospective MPS you developed in part (a) does not change, which orders would you be able to accept based on the available to promise (ATP)?
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