MRP

Question 1

What is a pegging report?

Answer 1

A pegging report is similar to a where-used report. However, the pegging report shows only those parents for which there is an existing demand requirement, whereas the where-used report shows all parents for a component. The pegging report shows the parents creating the demand for the components, the quantities needed.

Question 2

What is a Where-used report?

Answer 2

Where-used reports give the same information as bills of material, but the where-used report gives the parents for a component whereas the bill gives the components for a parent.

Question 3

In a general context, what are the three levels of resource planning for the enterprise?

Answer 3

ERP - level 1;
MRP II - forecasting (resource)- capacity planning - level 2;
MRP (requirements) - level 3.

Question 4

Q: Context: TYPES of Capacity – > Design Capacity

Answer 4

A: The maximum possible rate of output that can be acheived

Question 5

Q: Context: TYPES of Capacity – > Effective Capacity

Answer 5

A: The rate of output the firm is capable of achieving, given preventative maintenance, set- up time, etc

Question 6

Q: Context: TYPES of Capacity – > Actual Output

Answer 6

A: whatever rate of output is actually achieved

Question 7

What is expanded for MRP II that separates it from MRP I?

Answer 7

MRP II (the successor to MRP I) includes MPS and Inventory, but adds functionality to forecast demand, manage capacity, boost quality and more.

Question 8

What is Available to Promise (ATP) ?

Answer 8

Available to promise is that portion of a firm’s inventory and planned production that is not already committed and is available to the customer.

Question 9

What are the three steps in making an MPS?

Answer 9

1. Develop a preliminary MPS.
2. Check the preliminary MPS against available capacity.
3. Resolve differences between the preliminary MPS and capacity availability.

Question 10

1. What four functions does the master production schedule (MPS) perform in the production planning system?

Answer 10

• It forms the link between production planning and what manufacturing will actually build. From this perspective it forms the major link between customer demand and the production facility.
  
  • It forms the basis for calculating the capacity and resources needed.
  • It drives the MRP. As a schedule of items to be built, the MPS and BOM determine what components are needed from manufacturing and purchasing.
  • It keeps priorities valid. The MPS is a priority plan for manufacturing.

Question 11

2. What functions does the MPS perform between sales and production?

Answer 11

What should be produced, and when, in what quantity, for promises.

Question 12

3. Does the MPS work with families of products or with individual items?

Answer 12

• individual items

Question 13

4.a - Q: Where does the information come from to develop an MPS?

Answer 13

• The production plan—the aggregated production plan developed during the S&OP process.
• Forecasts for individual end items.
• Actual orders received from customers and for stock replenishment.

Question 14

4.b. Q: what is SOP

Answer 14

A: Sales and Operation Planning.

Question 15

5. Q: What are the three steps in making an MPS?

Answer 15

• 1. Develop a preliminary MPS.
• 2. Check the preliminary MPS against available capacity.
• 3. Resolve differences between the preliminary MPS and capacity availability.

Question 16

6. Q: What is the purpose of a rough-cut capacity plan?

Answer 16

A: Rough-cut capacity planning checks whether critical resources are available to support the preliminary master production schedules. Critical resources include bottleneck operations, labor, and critical materials (perhaps material that is scarce or has a long lead time).

Question 17

7. Q: Where is the resource bill used?

Answer 17

A: Resource requirements planning
* The resource bill, used in resource requirements planning, assumes a typical product in the family. Here (Context=rough cut cap plan) the resource bill is for a single product. As before, the only interest is in bottleneck work centers and critical resources.

Question 18

8. At what level should master production scheduling take place? a. In a make-to-stock environment? b. In a make-to-order environment? c. In an assemble-to-order environment?

Answer 18

inform your answers between b, a make-to-order environment, and c In an assemble-to-order environment. Determine the best answer via outline or declarative summary.

Question 19

Supply Defined I. Describe two of the five components of supply that involve Purchase Orders

Answer 19

supply

• purchase orders that have not been issued
  **purchase requisitions that will be converted to orders
  Planned orders which will become future requisitions and orders
  ***Open purchase orders that have been issued to and accepted by a vendor
  production orders required to fabricate an item.

Question 20

Supply Define I. Describe two of the components of supply that DO NOT involve Purchase Orders. HINT: Planning

Answer 20

supply

purchase orders that have not been issued
purchase requisitions that will be converted to orders
**Planned orders which will become future requisitions and orders
Open purchase orders that have been issued to and accepted by a vendor
**production orders required to fabricste an item.

Question 21

which of the following is NOT an element of Material Requirement Planning I?
a) supply b) Production Capacity c) Demand d) Inventory

Answer 21

The answer is (a) Production capacity, which is actually an element of MRP II.

Question 22

Q: Which of the following are not Supply Elements in MRP?

a) Open Purchase Orders
b) Closed Purchase Orders
c) Planned Orders
d) Production Orders

Answer 22

The answer is (b) Closed Purchase Orders

Question 23

What is MRP ?

a) Warehouse Management
b) A Set of computer programs that plan the purchase and/or manufacturing of products.
c) Inventory Management

Answer 23

(b) A set of computer programs that plan the purchase/and or manufacture of products.

Question 24

Associate the following to demand or supply:
DEMAND_TYPE:
CO
OP
RQ

SUPPLY_TYPE:
CP
PO
WO

Answer 24

Supply (cp, po, wo)

• purchase orders that have not been issued
• purchase requisitions that will be converted to orders
• Planned orders which will become future requisitions and orders
• Open purchase orders that have been issued to and accepted by a vendor
• production orders required to fabricate an item

Demand (co, op, rq)
===========
Customer Order
Operational Demand (OP)
Requisition

Question 25

What is DBR Scheduling?

Answer 25

What is DBR scheduling?
Drum-Buffer-Rope (DBR) is a scheduling solution that is derived from the Theory of Constraints (ToC).
The fundamental principle of DBR scheduling is that within any manufacturing plant there is
a Drum – one, or a limited number of, scarce resources – which controls the overall output of the shop.

According to ToC the performance of the system’s constraint –the Drum –will determine the
performance of the system as a whole.

Question 26

What is Capacity Constrained Resource (CCR)

Answer 26

Capacity constrained resources are resource (occasionally resources) that you want to plan to use as close to 100% as possible. Though a few companies may have more than one CCR, typically there is only one.

Question 27

Context: Types of Capacity –> Rated Capacity?

Answer 27

Rated capacity = available time * utilization * efficiency

Question 28

What is Jidoka?

Answer 28

The Japanese method of stopping a production line when a defect occurs

Question 29

What is SMED and what is its significance?

Answer 29

Single minute exchange of dies. The reduction of non-value added setup times.

Question 30

What is TPM?

Answer 30

Total production maintenance - maintaining and improving manufacturing machinery and engaging the operators or group of people who have the most impact

Question 31

What are the 4 P’s?

Answer 31

▪ 4 Ps
– Product
– Price
– Promotion
– Place

Question 32

Context: types of Capacity – > rated capacity

Answer 32

The rated capacity is equal to hours available × efficiency × utilization.

Question 33

Context: types of Capacity – > Demonstrated Capacity

Answer 33

Demonstrated capacity is an average:

Either a or b:
a - Average # of items produced multiplied by the standard hours per item
- or -
b - Sum of Standard Hours per Time Bucket / Number of Time Buckets
= (100 Standard Hours + 110 Standard Hours + 90 Standard Hours + 120 Standard Hours /4
= 105 Standard Hours