Question: Using the information in the following table, prepare a prospective MPS and calculate the available-to-promise (ATP) quantities on the table below. The order policy is
Using the information in the following table, prepare a prospective MPS and calculate the available-to-promise (ATP) quantities on the table below. The order policy is to produce in lots of 100 units.
Based on the ATP, should a new customer order of 50 units, to be delivered in week 4, be accepted? If not, which week is the earliest that this order can be accepted?
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| Quantity on hand: 40 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 |
| Forecast | 40 | 40 | 40 | 40 | 50 | 50 | 50 | 50 |
| Customer orders (booked) | 20 | 95 | 40 | 45 | 15 | 75 | 20 | 10 |
| Projected on-hand Inventory |
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| MPS quantity |
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| Available-to-promise (ATP) |
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Please show the work for each weeks ATP.
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