Exam 14: Material Requirements Planning Mrp and Erp

Consider the following bill of material. Forty units of Product A are needed. Assuming no on-hand inventory, and no scheduled receipts, explode the bill of material.

What do we mean by closed-loop MRP?

You have seen several methods for lot sizing in MRP. Why is lot sizing important in MRP? Can too much concern be given lot sizing? Answer in a well-developed paragraph.

__________ are the result of adjusting gross requirements for inventory on hand and scheduled receipts.

A manufacturing company is trying to determine the cost of materials used to produce an A. If Fs cost $1 and Ds cost $2 how much does it cost to produce an A (in F and D materials only)?

All of the following are advantages of enterprise resource planning (ERP) except it

Firms may discover that, rather than adapting ERP to the way they do business, they have to adapt the way they do business to accommodate the ERP software.

Construct a product structure tree for a movie purchased in DVD format. Assume that it contains a single DVD disk. Don't be concerned with artwork?you may use labeled boxes for your parts and assemblies.

The aggregate plan gets input or feedback from which of the following areas?

Wheeled Coach insists all of the following tasks are key to successful MRP use except

A(n) __________ is a timetable that specifies what is to be made and when.

A company is trying to implement MRP but is having trouble determining which order sizing method will minimize costs. Setup cost is $200 and holding cost is $2/period. If each period is 1 week, gross requirements are 270 units per 10 weeks, and there are 6 planned order releases for every 10 weeks, calculate the cost for lot-for-lot compared to EOQ for an entire year. Assume that EOQ and lot-for-lot are computed as though the usage will occur continually throughout the year.

__________ is a dependent demand technique that uses a bill of material, inventory, expected receipts, and a master production schedule to determine material requirements.

Time fences divide that segment of the MPS that can be revised from that section that is "frozen."

Lead times, inventory availability, and purchase orders outstanding are among the five things operations managers must know for effective use of MRP.

Which of the following statements is true about the MRP plan when using lot-for-lot ordering?

A(n) __________ is a listing of the components, their description, and the quantity of each required to make one unit of a product.

The Aggregate Plan, derived from the Master Production Schedule, specifies in more detail how much of which products is to be made at what times.

Explode the following Bill of materials assuming 1 A is to be made. If there are 20 of every item except A in on-hand inventory how many As can be assembled?

If the explosion of the bill of material tells MRP how much of each part is needed, how does MRP learn when each of these parts is needed?