lecture 11

Question 1

sales and operations planning

Answer 1

Process designed to coordinate key business activities

Marketing and sales and operations and supply chain

Process designed to keep demand and supply in balance over time

Aggregate level –> intermediate term (3-18 months)

It looks like meetings

Question 2

aggregate operations plan

Answer 2

set production rates by product group (aggregation), worforce level and inventory…

Question 3

production planning strategies

Answer 3

level capacity (keep level)

Chase demand (adapt to demand)

Question 4

Production planning costs

Answer 4

Basic production costs: fixed and variable

Changes in production rate

Inventory holding

Backordering

Question 5

Yield management

Answer 5

allocatig limited capacity to the cusotmer at the right price and time to maximize profits

Question 6

Yield management is most effective when

Answer 6

customer segmentation

Fixed costs high

Inventory is perishable

Product available in advance

Demand variable

Question 7

Material requirements planning

ERP

Answer 7

integrates all functions, database shared by all applications

Question 8

primary activity reports

Answer 8

planned order release for inventory and production control

Question 9

Secondary activity reports

Answer 9

Exceptions reports

Planning reports

Reports for performance control

Question 10

Material requirements planning structure

Answer 10

Refer to the bill of materials for product A shown below

If there is no existing inventory and no schedule receipts, how many units of items G, E, and D must be purchased to produce 5 units of end item A?