Question: To simplify data handling to include the receipt of orders that have actually been placed in previous periods, the following six-level scheme can be used.

To simplify data handling to include the receipt of orders that have actually been placed in previous periods, the following six-level scheme can be used. (A number of different techniques are used in practice, but the important issue is to keep track of what is on hand, what is expected to arrive, what is needed, and what size orders should be placed.) One unit of A is made of three units of B, one unit of C, and two units of D. B is composed of two units of E and one unit of D. C is made of one unit of B and two units of E. E is made of one unit of F. Items B, C, E, and F have one-week lead times: A and D have lead times of two weeks. Assume that lot-for-lot (L4L) lot sizing is used for Items A, B, and F: lots of size 51, 51, and 201 are used for Items C, D, and E, respectively. Items C, E, and F have on-hand (beginning) inventories of 11, 51, and 151, respectively; all other items have zero beginning inventory. We are scheduled to receive 11 units of A in Week 2, 51 units of E in Week 1, and also 51 units of F in Week 1. There are no other scheduled receipts. If 31 units of A are required in Week 8, use the low-level-coded bill of materials to find the necessary planned order releases for all components. Required: Develop an MRP planning schedule showing gross and net requirements and order release and order receipt dates. (Leave no cells blank - be certain to enter "O" wherever required.) Perod Gross requirements Scheduled receipts item A Projected available LT-2 balance Q=LAL Net requirements Planned order receipts planned order releases Gross requirements Scheduled receipts Rem B Projected available LT-1 balance Q=L4L Net requirements Planned order receipts Planned order releases Gross requirements Scheduled receipts tem Projected available LT-1 balance Q-51 Net requirements Planned order receipts Planned order releases Gross requirements Scheduled receipts Dem Projected available UT-2 balance Q=51 Net requirements Planned order receipts Planned order releases Gross requirements Scheduled receipts tem E Projected available LT=1 balance Q-201 Net requirements Planned order receipts Planned order releases Gross requirements Schedued receipts trem F Projected available LT=1 balance Q-L4L Net requirements Planned order receipts Panned order releases DD I I HI I TI O I WII

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