LECTURE 2 - part 2

Question 1

Master schedule record contains (5)

Answer 1

• Forecasted demand
• Booked orders
• Projected inventory levels
• Production quantities
• Units still available to meet customer demand

Question 2

Planning horizon (definition)

Answer 2

The amount of time the master schedule record or MRP record extends into the future

Question 3

MRP

Answer 3

Materials Requirement Plan

Calculates the timing and quantities of material orders needed to support the master schedule

Question 4

Master Production Schedule (MPS) (definition)

Answer 4

The amount of products that will be finished and available for sale at the beginning of each week

Question 5

Push-based supply chain

Answer 5

products are pushed through the channel from production up to the retailers. This means that production happens based on demand forecast

Question 6

Pull-based supply chain

Answer 6

procurement, production, and distribution are demand-driven rather than based on predictions. Goods are produces in the amount and time needed

Question 7

Bullwhip effect (definition)

Answer 7

The bullwhip effect is defined as the demand distortion that travels upstream in the supply chain from the retailer through the wholesaler and manufacturer due to the variance of orders which may be larger than that of sales