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BA 314: Fall 2018

Assignment 2

Due in Canvas 11:59 pm PST, On Tuesday of Week 10

Clodhopper         

Clodbuster

Background:

Your company has just acquired a new subsidiary that makes two products, Clodhopper and Clodbuster.  The Clodhopper is intended for the general consumer market and its demand is higher and more seasonal than the Clodbuster, which is intended for the commercial user market. Both products share a number of component parts and subassemblies, primarily differing in their engine and tiller subassemblies. You have been assigned to run this acquisition. The only planning information you have is historical data.

Assignment:

Your task is to complete the MPS plans for both end items and to create material requirements plans (MRP) for any 5 items in the BOM.

• First complete all of the information in the MPS plans.
• Then, using the MRP forms supplied in the spreadsheets. Fill in all appropriate data (lot size, ordering rule, etc).
• Do not make any changes to the format/layout of the spreadsheet. This is one place in industry where creativity in presenting data is not appreciated since many of the cells in the forms are normally linked, and changes can lead to significant errors in the results.

Data:

The “Assignment 2 ” spreadsheet contains five different worksheets:

• MPS plans for Clodhopper and Clodbuster for the first three months of 2018.
• Bill of materials data for ClodHopper and ClodBuster, including quantities required per product and assembly times/lead times
• Inventory records and lot-sizing rules for all subassemblies and component parts
• Scheduled receipts (production commitments and purchase orders that have been scheduled by previous MPS and MRP plans for delivery in 2018.
• MRP forms to use for your choice of five items in the BOM

Additional information:

• Remember that the FOQ lot-sizing rule allows multiple orders. That is, if your plan requires 450 units in a given period, current inventory is 75 units, and the FOQ order size is 100 units, then you would request 400 units (four orders) from the vendor or assembly production line.
• For items purchased using the POQ lot-sizing rule, consider that the time between orders begins at the start of the plans. That is, if the POQ period is 3, you can only have planned receipts (or scheduled receipts) in periods 1, 4, 7, and so on. Unlike the other ordering schemes where you first determine when a new order must be received and then schedule the order earlier according to the lead time, for POQ you look at future needs that must be satisfied until another POQ order can be placed.
• Do not schedule MRP planned orders in the line for scheduled receipt items. Scheduled receipts have already been started or ordered on previous MRP plans for delivery in 2018 and you are not allowed to make any additional entries on this line. The values on this line are to be added to the projected on-hand inventory when each scheduled receipt arrives. Do not reflect the scheduled receipts into planned order releases.
• Some parts and subassemblies have desired safety stock levels. Be sure to order enough or early enough to ensure these levels are maintained, limited only by any lead-time constraints. When there is no safety stock, maintain the projected on-hand greater than or equal to zero.
• Use the power of Excel as much as possible for filling out your MPS and MRP forms. Doing so will save you considerable time in completing your assignment and is representative of how these processes are done in industry. Use the comment function to show the formula for “projected on-hand inventory” calculations for both the MPS and MRP forms.
  Hint: Entering new order quantities (planned receipts) when needed is best done manually whenever the on-hand inventory values indicate that you would not have enough unless an order is placed.

Assignment 2 Grading:

There are 50 points possible on this assignment.  Grading criteria include proper application of the planning methods, following all directions, and professional appearance of your work, including application of Excel.

Use the Excel file: BA 314 Assignment 2 F18 for the required information and forms