Problem:
Assume that you are the manager of a shop that assembles power tools. You have just received an order for 53 chain saws, which are to be shipped at the start of week 8. Pertinent information on the saws is
| Item |
Lead Time (weeks) |
On Hand |
Components |
| Saw |
2 |
15 |
A(2), B(1), C(4) |
| A |
1 |
10 |
E(3), D(1) |
| B |
2 |
5 |
D(2), F(3) |
| C |
2 |
65 |
E(2), D(2) |
| D |
1 |
20 |
|
| E |
1 |
10 |
|
| F |
2 |
30 |
|
Required:
Question 1) Develop the material requirements plan for component E using lot-for-lot ordering. Solve the given numerical problem and illustrate step by step calculation.