BMG323/03: Production planning requires responsive supply replenishment to demand changes: Business Analytics, Assignment 3, WOU, Malaysia

School

Wawasan Open University (WOU)

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Assignment Type

Individual Assignment

Subject

BMG323/03: Business Analytics

Uploaded by Malaysia Assignment Help

Date

07/22/2024

Question 2

Production planning requires responsive supply replenishment to demand
changes. This is especially acute in manufacturing or service industry adopting
build to stock business model. It’s a challenging task to analyze demand patterns and strategize supply schedules.

BMG323/03: Business Analytics

The following scenario indicates a supply-demand situation for company’s build to stock business model. Your task is to analyze and evaluate the current
demand-supply. You will propose a solution based on your analysis.

BMG323/03: Business Analytics

a) Based on the situation below, analyze the demand pattern. You may use 3
weeks moving average and visualize into line graphs. Comment on the trend.

b) Based on the Q1 demand-supply schedule, comment if the production
managed to fully support all demand timely. You may restructure the table.

c) The production executive has decided to replan the entire schedule in Q2.
Additional information.

i) Assuming that by end W13, after realizing the production hiccups, the
production has ordered additional 50 units to clear backlog.
ii) Demand forecasting can never be accurate. Hence the production
executive used the previous quarter’s 3 weeks moving average as
baseline for Q2.
iii) The production planner intends to keep weekly 5 units of safety stock.
iv) Demand for Q2 is based on the schedule below.

BMG323/03: Business Analytics

How should the production executive analyze the production schedule and
replan accordingly. You may tabulate your demand-supply into appropriate
table that indicates:

  •  Inventory on hand.
  •  Supply-demand schedule.
  • Net requirement
  •  Required safety stock.

The output should be a replan schedule into an appropriate table commonly
known as Master Production Schedule. Comment on your schedule.

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