Assignment on MRP Calculation
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This document provides an example calculation of a material requirements planning (MRP) problem. It involves a bill of materials structure with multiple levels and items with varying lead times. The MRP calculation determines the planned order releases for each item based on the gross requirements, current inventory levels, and scheduled receipts to satisfy demand over an 8 week planning horizon. Tables show the MRP calculation for each item, listing the gross requirements, scheduled receipts, projected on-hand inventory, net requirements, and planned order receipts and releases by period.
Assignment on MRP Calculation
- 1. 1 MRP Calculation Presented by: Emdadul Huq,MBA, PGDSCM Trained on SCM,InventoryManagement& CCA SUBJECT: MANUFACTURING PLANNING & CONTROL
- 2. 2 Material Requirement Planning (MRP) Q: Each unit of A is composed of one unit of B, two units of C, and one unit of D. C is composed of two units of D and three units of E. Items A, C, D, and E have on-hand inventories of 20, 10, 20, and 10 units, respectively. Item B has a scheduled receipt of 10 units in period 1, and C has a scheduled receipt of 50 units in Period 1. Lead times are one period for Items A, B, and C, and two periods for Items D and E. The gross requirements for A are 30 in Period 2, 30 in Period 5, and 40 in Period 8. Find the planned order releases for all items.
- 3. 3 MRPExercise A Level-0 B1 C2 D1 Level-1 D2 E3 Level-2 ProductStructure Tree
- 4. 4 Bill of Materials (BOM) Level-0 Item P-2 P-5 P-8 Total On Hand SR Requied A 30 30 40 100 20 - 80 Level- 1 B 1 xNumber of As =80x1= 80 - 10 70 C 2 xNumber of As =80x2= 160 10 50 100 D 1 xNumber of As =80x1= 80 20 - 60 Level- 2 - 260 D 2 xNumber of Cs =100x2= 200 - - 200 E 3 xNumber of Cs =100x3= 300 10 - 290 P= Period in week
- 5. 5 MRP Calulation 1 Lead Time = 1 Lot for Lot Item Name: A Period Level Week Number PD 1 2 3 4 5 6 7 8 0 Gross Requirements - - 30 - - 30 - - 40 Scheduled Receipts - - - - - - - - - Projected On Hand 20 20 20 - - - - - - Net Requirements - - 10 - - 30 - - 40 Planned Order Receipts - - 10 - - 30 - - 40 Planned Order Releases - 10 - - 30 - - 40 - 80 2 Lead Time = 1 Level Item Name: B Period Lot for Lot 1 Week Number PD 1 2 3 4 5 6 7 8 Gross Requirements - 10 - - 30 - - 40 - Scheduled Receipts 10 10 - - - - - - - Projected On Hand - - - - - - - - - Net Requirements - - - - 30 - - 40 - Planned Order Receipts - - - - 30 - - 40 - Planned Order Releases - - - 30 - - 40 - - 70
- 6. 6 3 Lead Time = 1 Lot for Lot Level Item Name: C Period 1 Week Number PD 1 2 3 4 5 6 7 8 Gross Requirements - 20 - - 60 - - 80 - Scheduled Receipts 50 50 - - - - - - - Projected On Hand 10 10 40 40 40 - - - - Net Requirements - - - - 20 - - 80 - Planned Order Receipts - - - - 20 - - 80 - Planned Order Releases - - - 20 - - 80 - - 100 4 Lead Time = 2 Lot for Lot Level Item Name: D Period 1 & 2 Week Number PD 1 2 3 4 5 6 7 8 Gross Requirements - 10 - 40 30 - 160 40 - Scheduled Receipts - - - - - - - - - Projected On Hand 20 20 10 10 - - - - - Net Requirements - - - 30 30 - 160 40 - Planned Order Receipts - - - 30 30 - 160 40 - Planned Order Releases - 30 30 - 160 40 - - - 260
- 7. 7 5 Lead Time = 2 Lot for Lot Level Item Name: E Period 2 Week Number PD 1 2 3 4 5 6 7 8 Gross Requirements - - - 60 - - 240 - - Scheduled Receipts - - - - - - - - - Projected On Hand 10 10 10 10 - - - - - Net Requirements - - - 50 - - 240 - - Planned Order Receipts - - - 50 - - 240 - - Planned Order Releases - 50 - - 240 - - - - 290