The document discusses push and pull production control systems. A push system like MRP initiates production based on forecasts, while a pull system like JIT initiates production based on current demand. MRP involves gathering demand data, determining planned order releases using explosion calculus, and developing shop floor schedules. Lot sizing algorithms aim to balance setup and holding costs. Capacity constraints and improvement steps can further optimize production planning.
24. Order horizon total holding cost 1 0 2 0.6(42)=25.2 3 0.6(42+2(32))=64.8 4 0.6(42+2(32)+3(12))=86.4 5 0.6(42+2(32)+3(12)+4(26))=148.8 > 132 Since 148.8 is closer to 132 than 86.4 the order horizon is 5 periods _________________________________________________________ 1 0 2 0.6(45)=27=27 3 0.6(45+2(14))=43.8 4 0.6(45+2(14)+3(76))=180.6 > 132 Since 121.2 is closer to 132 than 151.2 the order horizon is 3 periods _________________________________________________________ 38 76 14 45 112 26 12 32 42 42 Time-phased net reqts . 13 12 11 10 9 8 7 6 5 4 Week