Question: As you complete the MPS calculations remember: Within the demand time fence ( the first two weeks ) : Gross requirements are equal to actual
As you complete the MPS calculations remember:
Within the demand time fence the first two weeks: Gross requirements are equal to actual customer orders.
The demand forecast is no longer relevant. Any new customer orders will fall into week or beyond.
Beyond the demand time fence: Gross requirements are either the demand forecast for that week, or the
customer orders for that week, whichever is larger.
Any outstanding inprocess production orders are displayed in the In Production due line of the MPS
The current inventory value is the starting point for computing projected onhand inventory.
A new MPS quantity is required in any period where projected onhand inventory fall below the specified
safety stock SS level.
Item: EA
Current Inventory:
SS:
Early American Chair, Oak
Lot Size:
Demand time fence is two weeks. No production orders outstanding
tableWeek:
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
