SOLVED

Section 6Â Â Extensions of MRP 1) Smoothing a resource requirements profile to stay within capacity limits may increase setup costs. 2) Closed-loop MRP systems allow production planners to move work between time periods to smooth the load or to at least bring it within capacity. 3) Operations splitting sends pieces to the next operation before the entire lot is completed on the previous operation. A) utilizes feedback about workload from each work center. B) may make use of resource requirements profiles (load reports). C) may smooth work center loads with such tactics as overlapping and lot splitting. D) does not add capacity, but rather seeks effective use of existing capacity. E) All of the above are true. 5) If a load report (resource requirements profile) shows a work center scheduled beyond capacity: A) the company must add capacity by enlarging the facility. B) the company must add capacity by such tactics as overtime and subcontracting. C) the work center’s load may be smoothed by such tactics as operations splitting or lot splitting. D) the aggregate plan must be revised. E) the Wagner-Whitin algorithm should be used to rebalance the load. 6) MRP II is accurately described as: A) MRP software designed for services. B) MRP with a new set of computer programs that execute on microcomputers. C) material resource planning. D) an enhancement of MRP that plans for all levels of the supply chain. E) a new generation of MRP software that extends MRP to planning and scheduling functions. 7) A(n) ________ provides feedback to the capacity plan, master production schedule, and production plan so planning can be kept valid at all times. 8) A(n) ________ can illustrate whether a work center has been scheduled beyond its capacity. 9) ________ is a system that allows, with MRP in place, inventory data to be augmented by other resource variables. 10) Describe the tactics for load smoothing in MRP. 11) What do we mean by closed-loop MRP? 12) Jacquie Welkener, operations manager for ABC Technologies, must schedule work for the next five days. Each unit takes 30 minutes to process. Available capacity is 8 hours per day. The production order quantities are 12, 18, 20, 13, and 17 for Monday through Friday, respectively. What should be the production plan?