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The following information is available for three MPS (Master Product Scheduling) items:
Product A An 80 unit order is to be started in Week 3.
A 55 unit order is to be started in week 6.
Product B A 125 unit order is to be started in week 5
Product C A 60 unit order is to be started in week 4.
Develop the material requirements plan for the next 6 weeks for items D, E, and F. The BOMs (Bill of Materials) are shown in the below figure (1), and the data from the inventory records are shown in table 2. (Warning: A safety stock requirement applies to item F. Be sure to plan a receipt for any week in which the projected on-hand inventory becomes less than the safety stock.)
Normal 0 false false false EN-US X-NONE X-NONE MicrosoftInternetExplorer4
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Problem 1: (a) What are the likely benefits which an organisation may derive from the planning process? (b) Explain the main reasons why an organisation may fail to plan.
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