Questions 8-10

This assigned project aims to enable a student analyzes the given quantitative information, use mathematical models/formulas taught in a class to solve a set of connected questions of some topics such as forecasting, capacity requirements planning, inventory, bill of materials in MRP, scheduling, etc.), and then draw general conclusions. By doing so, a student can apply course concepts to enhance quantitative reasoning abilities or skills for effective decision making. Jewelry manufacturing industries are mostly labor-intensive industries that need high operator involvement. Jewelry items such as brooches, rings, bracelets, earrings, etc. are meant for adomment and can be worn by persons. A jewelry company reveals the following production information as shown in Table I including the different types of each product name, processing times and due dates. The production department does not consider product setup times on machines for its production Table 1. Processing times and due dates of product types Product name Bracelets Rings Brooches Earrings B D E F G H 1 K L Processing time/hour 0.5 0.2 0.7 0.1 0.3 0.5 0.6 0.9 0.7 0.3 0.4 0.2 Minutes until due 15 1855 12 12 21 33 54 44 20 3314 Product type The receiving department at the company orders materials for producing each finished product type. For example, one unit of product type A of bracelets requires one unit of material type A1, three units of material type A2 and two units of material A3. Further, cach unit of material A2 needs one unit of material A21, one unit of material A3 needs three units of A31, and finally one unit of material A31 needs five units of material A311. Moreover, the purchase costs and quality (quality scale is out of 100) of materials required from suppliers to build the finished product are shown in Table 2. --- Table 2. Purchase costs and quality of materials Product Type A1 A21 A31 A311 Measures quality quality cost quality cost quality quality cost quality Supplier 20 Supplier 2 $4.5 $3.5 $3,7 $2.5 SIS Supplier 3 $47 $3.0 102 A3 cost $4.0 A2 cost Hla SS na $39 cost $2.0 $29 n/a 60 30 50 40 40 40 40 40 na n/a 10 25 15 na SIS The production manager sets each machine to be available for 2000 hours per year (i.e., a department works one 8-hour shift per day, 250 days per year), Each machine costs $15000. Additionally, the marketing department brings the following customer demand information about product type A of bracelets as shown in Table 3. Table 3. Available customer demand values Month Jan Feb, Mar Apr May Jun Jul Aug Sept. Oct Nov Dec. Demand 500.550 610 620 ? 2 ? ? 2 2 Finally, the management of inventory at the company, that plays a great role in the function of meeting the customer demand and smoothing production requirements, estimates the following: Setup costs por order include $150 and $200 for both fixed cost transportation (trucking) and other order expenses, respectively, . Jue March 20, 2022, by midnight) 8. As a manager, you knoy that inventory ordering policies address two basic issues, and they are how much to order and wheel to order. Therefore, you need to determine both the optimal order quantity and the reorder point for product type A of bracelets. (Due March 27, 2022, by midnight) 9. Given that the management of the company sets 1500 units of product type A of bracelets as the starting inventory of January, determine the ending inventory of each month during the entire year (Due March 27, 2022, by midnight) 10. According to the ending inventory information you have attained, calculate the total inventory costs including shortage, holding, and ordering costs. (Due March 27, 2022, by midnight) 11. Develop a product semienee nlan hu dat