Material Management-What is supply chain? Describe five important factors in supply chains. Q3. What are the major inputs to the MRP system? Q4. Define “capacity available”

What is supply chain? Describe

 Material Management

 

Questions:

Q1. What is supply chain? Describe five important factors in supply chains.

Q2. A company wants to develop a level production plan for a family of products. The opening inventory is 600 units, and a decrease to 200 units is expected by the end of the plan. The demand for each of the months is given in what follows. How much should the company produce each month? What will be the ending inventory in each month? Do you see any problems with the plan?

Q3. What are the major inputs to the MRP system?

Q4. Define “capacity available” what are the four factors that affect it?

Q5. If purchase were 45% of sales and other expenses were 45% of sales, what would be the increase in profit if, through better purchasing, the cost of purchases was reduced to 43% of sales?

Q6. What is bias error in forecasting? What are some of the causes?

Q7. Define each of the following in your own words and as a formula:

a) Annual ordering cost

b) Annual Carrying cost

c) Total annual cost.

Q8. Why is cycle counting a better way to audit inventory records than an annual physical inventory?

Q9. Describe general-purpose and special-purpose machinery. Compare each for flexibility of use, operator involvement, run time per piece, setup time, quality, capital cost and application.

Q10. What is the difference between ISO 9001, 9002 and 9003?

 

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