OPERATIONS MANAGEMENT IN THE SUPPLY CHAIN: DECISIONS & CASES (Mcgraw-hill Series Operations and Decision Sciences)
7th Edition
ISBN: 9780077835439
Author: Roger G Schroeder, M. Johnny Rungtusanatham, Susan Meyer Goldstein
Publisher: McGraw-Hill Education
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Chapter 14, Problem 13P
eXcel 13. The Cover-up Drapery Company carries four types of fabric with the following characteristics:
| Type | Annual Demand (yards) | Item Cost per Yard |
| 1 | 300 | $20 |
| 2 | 250 | $18 |
| 3 | 100 | $12 |
| 4 | 200 | $8 |
Assume that the items are to be ordered together from the same supplier at an ordering cost of $20 per order and an annual carrying cost of 20 percent. Also assume 300 working days in a year.
- a. If a P system is used, what is the optimal ordering interval in days?
- b. How much of each type of carpet would be ordered when a combined order is placed?
- c. What is the effect on the ordering interval of changing the carrying cost to 25, 30, and 35 percent?
- d. Why can’t these carpets be ordered by using a Q system?
- e. Classify the four items above as A, B, or C inventory items.
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b-1.
Activity
ES
EF
LS
LF
Slack
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b-2. Identify the critical activities, and determine the duration of the project.
The critical activities are .
The forecast for each week of a four-week schedule is 50 units. The MPS rule is to schedule production if the projected on-hand
Inventory would be negative without it. Customer orders (committed) are follows:
Week
Customer Order
1
52
35
20
12
Use a production lot size of 75 units and no beginning Inventory. Determine the available-to-promise (ATP) quantities for each period.
Note: Leave no cells blank - be certain to enter "0" wherever required.
Period
ATP
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2
3
Prepare a master schedule given this information: The forecast for each week of an eight-week schedule is 60 units. The MPS rule is
to schedule production if the projected on-hand Inventory would be negative without it. Customer orders (committed) are as follows:
Week Customer Orders
1
2
36
28
4
1
Use a production lot size of 85 units and no beginning inventory.
Note: In the ATP row, enter a value of 0 (zero) in any periods where ATP should not be calculated. Leave no cells blank - be certain
to enter "0" wherever required.
June
July
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Forecast
60
60
60
60
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Customer Orders
38
28
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Projected On-Hand Inventory
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Chapter 14 Solutions
OPERATIONS MANAGEMENT IN THE SUPPLY CHAIN: DECISIONS & CASES (Mcgraw-hill Series Operations and Decision Sciences)
Ch. 14.S - eXcel Suppose that for problem 1 in the chapter,...Ch. 14.S - Prob. 2PCh. 14.S - For problem 2 in the chapter, suppose the Grinell...Ch. 14.S - A producer of electronic parts wants to take...Ch. 14 - Identify the different types of inventories (raw...Ch. 14 - Why are stockout costs difficult to determine?...Ch. 14 - What is the difference between a requirements...Ch. 14 - Compare and contrast the management of finished...Ch. 14 - For a given service level, why does a P system...Ch. 14 - Under what circumstances might CPFR be useful, and...
Ch. 14 - Prob. 7DQCh. 14 - What is the appropriate role of inventory turnover...Ch. 14 - Suppose you are managing a chain of retail...Ch. 14 - The Always Fresh Grocery Store carries a...Ch. 14 - The Grinell Machine Shop makes a line of metal...Ch. 14 - The local Toyota dealer has to decide how many...Ch. 14 - Prob. 4PCh. 14 - The famous Widget Company sells widgets at the...Ch. 14 - Prob. 6PCh. 14 - Prob. 7PCh. 14 - An electronics retailer carries a particular...Ch. 14 - An electronics retailer carries a particular...Ch. 14 - The local Toyota dealer has to decide how many...Ch. 14 - The Suregrip Tire Company carries a certain type...Ch. 14 - The Suregrip Tire Company carries a certain type...Ch. 14 - eXcel 13. The Cover-up Drapery Company carries...Ch. 14 - Suppose you are the supplier of the Cover-up...
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