The Following Six Level Scheme Can Be Used

weekGross requirementsScheduled receiptsProjected available balanceNet requirementsplanned order receiptplanned order releaseOne way to calculate the number is as follows;One unit of A is made of three units of B, one unit of C, and two units of D, B is composed of two units of D. C is made of one unit of B and two units of E. E is made of one unit of F. Items B,C,E, and F have one-week lead time; A and D have lead times of two weeks. Assume that lot-for-lot(L4L) lot sizing is used for items A,B, and F; lots size of size 50, 50, and 200 are used for Items C, D, and E, respectively. Items C,E, and F have on-hand(beginning) inventories of 10, 50, and 150, respectively; a;; other items have zero beginning inventory. We are scheduled to receive 10 units of A in Week 2, 50 units of E in week 1, and also 50 units of F in week 1. There are no other scheduled receipts. If 30 units of A are required in Week 8, use the low-level-coded bill of materials(product structure tree) to find the necessary planned order releases for all components.

Prof. Angela

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