In: Operations Management
Question 3: Mate
| D | 
rial Requirement Planning
A company manufactures two products A and B. Each A requires two C’s and one D. Each D requires two F’s and one E, while each E requires one F. Each product B requires one D and two E’s. The table below shows data from the inventory records.
| DATA CATEGORY | C | D | E | F | 
| Lot-Sizing Rule | Fixed Order Quantity = 220 | Lot for Lot | Fixed Order Quantity = 300 | Period Order Quantity P = 2 | 
| Lead Time | 3 weeks | 2 weeks | 3 weeks | 2 weeks | 
| Scheduled Receipts | 280 (week 1) | None | 300 (week 3) | None | 
| Beginning Inventory | 25 | 0 | 150 | 600 | 
The MPS for product A calls for 85 units to be started in week 3 and 100 units to be started in week 6. The MPS for product B calls for 180 units to be started in week 5.
Develop the material requirements plan for the next six weeks for items C, D, E and F.
MPS -A
| 
 Week  | 
 1  | 
 2  | 
 3  | 
 4  | 
 5  | 
 6  | 
| 
 MPS  | 
 85  | 
 100  | 
MRP-C (Fixed lot 220,Lead time =3 weeks ,Initial inventory=25)
| 
 Week  | 
 1  | 
 2  | 
 3  | 
 4  | 
 5  | 
 6  | 
| 
 GR  | 
 200  | 
|||||
| 
 SR  | 
 280  | 
|||||
| 
 PAB (25)  | 
 305  | 
 305  | 
 135  | 
 135  | 
 135  | 
 155  | 
| 
 POR  | 
 220  | 
MRP D(lot for lot, Leadtime =2 weeks, Initial Inventory=0)
| 
 Week  | 
 1  | 
 2  | 
 3  | 
 4  | 
 5  | 
 6  | 
| 
 GR  | 
 85  | 
 0  | 
 0  | 
 100  | 
||
| 
 SR  | 
||||||
| 
 PAB (0)  | 
 0  | 
 0  | 
 0  | 
 0  | 
 0  | 
 0  | 
| 
 POR  | 
 85  | 
 100  | 
MRP E(Fixed lot=300,LT=3 weeks, Initial Inventory=150)
| 
 Week  | 
 1  | 
 2  | 
 3  | 
 4  | 
 5  | 
 6  | 
| 
 GR  | 
 100  | 
 0  | 
 0  | 
 0  | 
 0  | 
 0  | 
| 
 SR  | 
 300  | 
|||||
| 
 PAB (150)  | 
 65  | 
 65  | 
 365  | 
 565  | 
 0  | 
 0  | 
| 
 POR  | 
 300  | 
MRP F(POQ=2, initial inventory =600 LT=2 weeks)
| 
 Week  | 
 1  | 
 2  | 
 3  | 
 4  | 
 5  | 
 6  | 
| 
 GR  | 
 0  | 
 200  | 
||||
| 
 SR  | 
||||||
| 
 PAB (600)  | 
 130  | 
 0  | 
 0  | 
 0  | 
||
| 
 POR  | 
 200  | 
MPS B
| 
 Week  | 
 1  | 
 2  | 
 3  | 
 4  | 
 5  | 
 6  | 
| 
 MPS  | 
 180  | 
MRP D
| 
 Week  | 
 1  | 
 2  | 
 3  | 
 4  | 
 5  | 
 6  | 
| 
 GR  | 
 180  | 
|||||
| 
 SR  | 
||||||
| 
 PAB (0)  | 
 0  | 
 0  | 
 0  | 
 0  | 
 0  | 
 0  | 
| 
 POR  | 
 180  | 
MRP E
| 
 Week  | 
 1  | 
 2  | 
 3  | 
 4  | 
 5  | 
 6  | 
| 
 GR  | 
 0  | 
 360  | 
||||
| 
 SR  | 
 300  | 
|||||
| 
 PAB (300)  | 
 300  | 
 -60  | 
 240  | 
 240  | 
 180  | 
 180  | 
| 
 POR  | 
 300  | 
MRP F
| 
 Week  | 
 1  | 
 2  | 
 3  | 
 4  | 
 5  | 
 6  | 
| 
 GR  | 
 0  | 
 0  | 
||||
| 
 SR  | 
||||||
| 
 PAB (600)  | 
 600  | 
 300  | 
 300  | 
 300  | 
 300  | 
 300  | 
| 
 POR  |