22 Sep PIMS, Inc., has been manufacturing plumbing equipment since 1999. Because of the depressed economic conditions, component parts are assembled in batch runs.
The main tool this week is Material Requirements Planning (MRP).
1.PIMS, Inc., has been manufacturing plumbing equipment since 1999. Because of the depressed economic conditions, component parts are assembled in batch runs. At any given time, each level of production has several partially assembled components. Given the following assembly and inventory information, construct a product structure diagram for the oil leak valve, and plan the order releases necessary to assemble 400 oil leak valves for period 10.
Description of the Production Process
Production of the valve begins with the base. The base is placed and secured in a housing. Ball bearings are then installed on opposing sides of the base housing. The rear base cover is fitted on and held while the front cover is secured with U-bolts. Next, the anchor assembly is connected. Finally, two sets of brackets are screwed on and the oil leak valve is checked before shipping.
Assume the use of the multiple of fixed lot sizes technique.
BOM for Week 1 MRP Assignment.docx BOM for Week 1 MRP Assignment.docx – Alternative Formats
MRP Assignment Week 1.xlsx
Review the attached diagram of the B.O.M. for this product.
Then, using Excel, complete the MRP record for the Oil Leak valve and all subcomponents. You will need a table for each one.
Next, consider and explain the options for the next six months for short-range capacity planning for Oil Leak valve assemblies as discussed on pg. 218 and managerial factors on pg. 219 click the link (https://portal.verba.io/nu/login). What happens if orders exceed capacity? Fall short of capacity? What are some costs that can be incurred for both scenarios?
Explain what you did in this assignment with regards to MRP and Capacity Planning as if you were describing the concepts to someone unfamiliar with Operations and Supply Chain Planning.
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