Question

Following on from Distribution Requirements Planning Tutorial Question 3 (MVA Pet Food)

Update all four records as of the start of Week 2, assuming the following transactions occurred during week 1

	Receipts	Order Releases	Sales (Distributions)	Inventory Adjustment	Open Order Scrap
Gro-Pup Seattle	0	0	19	-3	0
Gro-Pup Portland	15	15	20	+3	0
Gro-Pup Plant	0	50	15	0	0
Gro-Pup Packaging	90	100	50	+4	10

 

Hint for above:

Calculate the Ending inventory for Wk 1 for all first, then follow same steps as previously outlined in the Tutorial.

So For example:

Gro-pup Seattle, for Period 1 Sales were 19 not 20, Inventory was down 3, from a projected 23 to 20.

Therefore the ending inventory or Available Balance at the end of Week 1 is 43-3-19 = 21

Which you will see in the Table below.

Gro-Pup Seattle Warehouse		Period
		2	3	4	5	6	7	8	9
forecast Requirements		20	20	20	20	20	20	20	20
In Transit
Projected Available Balance	21
Planned Shipments
Q =    60  lead time = 1        Safety stock =0
Gro-Pup Portland Warehouse		Period
		2	3	4	5	6	7	8	9
forecast Requirements		10	10	10	10	10	10	10	10
In Transit
Projected Available Balance
Planned Shipments
Q =    15     lead time = 1        Safety stock =0
Gro-Pup Plant Warehouse		Period
		2	3	4	5	6	7	8	9
Gross Requirements
Scheduled Receipts
Projected Available Balance		-10
Planned Order Release
Q =    50      lead time = 2      Safety stock =0
Gro-Pup Packaging Material		Period
		2	3	4	5	6	7	8	9
Gross Requirements
Scheduled Receipts
Projected Available Balance
Planned Order Release
Q =    100     lead time = 4      Safety stock =0