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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

b.

Develop the material requirements plan for component E using lot-for-lot ordering. (Leave no cells blank – be certain to enter “0” wherever required.)

Item: E(3) & E(2) LT = 1 wk.

Beg. Inv.

1

2

3

4

5

6

7

8

Gross requirements

Scheduled receipts

Projected on hand

Net requirements

Planned order receipt

Planned order release

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