Discuss the below:
Q: John Jacobs recently invented a new holder for Keurig Coffee pods and it is selling very well. It is scheduled to be featured in 5 weeks on Good Morning America's hot products and he expects sales to remain strong for several weeks afterward. John is very excited about this opportunity and wants to make sure that he has enough product ready for the promotion. He has worked with his advertiser and produced the expected weekly demand for the next 12 weeks below.
Each holder requires 1 base, 4 legs, and 4 screws. The ordering specifics for each are as follows:
Final Product (Holder) - Lead Time 1 week, Lot for Lot, Initial Inventory =75
Base - Lead Time 4 weeks, Fixed Order Quantity of 100, Safety Stock of 50, Initial Inventory = 500
Legs - Lead Time 2 weeks, Lot for Lot, Safety Stock of 200, Initial Inventory = 200
Screws - Lead Time 1 week, Fixed Order Period of 2 weeks, Initial Inventory = 1000
Generate the MRP for the Final Product, Base, Legs, and Screws given the following demand for the holders. Denote any expedited orders with an * by them.
|
Week
|
0
|
1
|
2
|
3
|
4
|
5
|
6
|
7
|
8
|
9
|
10
|
11
|
12
|
|
Demand
|
|
75
|
75
|
100
|
300
|
200
|
900
|
850
|
800
|
700
|
750
|
600
|
550
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