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A manufacturing firm prepares the following materials requirement plan (MRP):
Master Production Schedule
Week123456
Item A101015152020
Relevant Information
ItemItem's ParentItem's Lead TimeItem's Lot SizeItem's Current Inventory
ANone1 weekLFL50
BA2 weeks5010
CB2 weeks5010
Using MRP methodology, how much of Item B should be ordered, and when should it be ordered7
A supply manager is tasked with assisting internal customers in refining their budgets and planning future sourcing. The supply manager works with the firm's marketing director on a budget which includes a large direct mail campaign and the revision of promotional materials for several products.
Six months later, marketing has nearly exhausted the budget due to cost increases in paper and printing, even though the marketing campaign's scope has not changed. Which of the following did the supply manager and marketing director fail to consider?
An ERP purchasing module indicates a gross requirement of 100 units for part number A123. There is an open purchase order for 55 units. The item master for this supplier shows an order lot size of 30 units each. In this situation, how many units of this part will the exception report indicate should be ordered7