1.5.What is the purpose of a process plan? List the types of information normally included in the
1.x. Define the term WIP (Work-in-Process)
2.2 Describe the typical decision levels in a production planning system and indicate the inputs
and outputs at each level.
2.5 What is the difference between inventory position and on-hand inventory?
2.6 A product is produced in batches of 100 units. The machine requires 1 hour of setup time.
Unit processing time is 10 minutes but the machine can process up to 5 units at a time. After
processing, each unit must spend 2 hours on a cooling rack before it can be used. There is no
limit to the number of units that can be cooled at a time. Assuming there is no additional waiting
time for the machine, find the production throughput time for batches of this product.
2.9 It costs a development lab $250 to fabricate a prototype part. The normal learning curve is 90
percent. Estimate the unit variable cost after 1,000 items are produced.
2.15 In a stable system inventory averages $10,000,000. The company sells $35,000,000 per
year. What is the average time product spends in the system? How many inventory turns are
there per year
3.2 What is the difference between top-down and bottom-up forecasting?
3.5 Demand for the past four periods has been 104, 108, 105, 99. Estimate the initial value of the
simple exponential smoothing statistic by averaging the historical data. Update the statistic using
the four periods of data. What is your forecast for period 5? Use a smoothing factor of 0.2.
3.8 Annual shipments of glass food containers for the past decade are given in Table 3.5. Plot
these data, hypothesize an appropriate model form, estimate the parameters, and forecast
shipments for 1993 and 1994.
3.9 Quarterly shipments of glass food containers for the past three years are given in Table 3.6.
Plot these data, hypothesize an appropriate model form, estimate the parameters and forecast for
the next year.
3.11 Using the newsprint shipments in Table 3.4 , fit an first order autoregressive model of the
3.17 Quarterly sales (in thousands of units) of a product over the last two years have been 26, 29,
30, 27, 28, 32, 33, and 30. Plot the data and forecast for the next period using Winter’s
3.18 In problem 17, assume sales for the ninth quarter turned out to be 32. Update your
parameter estimates and forecast sales for period 10