TER3161 ENTERPRISE RESOURCE PLANNING

Tutorial 5
Answer all questions.
1. The The bill of materials / BOM , shown below for Fitter Snacker, is a list of the
materials needed to make NRG-A and NRG-B bars.

2. Lot sizing refers to the process of determining production quantities (for raw
materials produced in-house) and order quantities (for purchased items).
3. Refer to the following figure, fill in the blanks from A-H.
-

MRP
Demand Management
Purchasing
Sales Forecasting
Detailed Scheduling
Starting Inventory
Production
Sales and Operations Planning

4. Supply chain is the network of services, material, and information flow that link a
firms customer relations, order fulfillment, and supplier relations processes to
those of its suppliers and customers. Discuss FOUR (4) factor that drives SCP.

Facilities
Facilities are the places in the supply chin network where product is
manufactured , store, or shipped.
The tow major types of facilities are production sites (plants ) and storage sites
( warehouses ) .
A company needs to decide how many suppliers, manufacturing
Facilities, distribution centers, and warehouses to have.
Infirmation
Information consists of data and analysis concerning facilities , inventory,
transportation , and customers throughout the supply chain .
Transpotation
Transportation moves the product between different stages in a supply
5. Briefly describe the THREE (3) categories of flows in SCM.
Product flow the product flow includes the movement of goods from a supplier
to customer , as well as any customer returns or service needs .
Infromation Flow the information flow involves transmitting orders and
updating the status of delivery .
The finance Flow The financial flow consists of credit terms, payment
schedules and consignment and title ownership arrangements
6. Increasing numbers of companies are using the Internet and Web-based
applications as part of their SCM solution. Identify TWO (2) main type of SCM
software.
-Planning Applications: Use advanced algorithms to determine the best way to
fill an order .
-Execution Applications: Track the physical status of goods, the management of
materials, and financial information involving all paties .
7. Briefly describe SCM processes.
Procurement
Procurement is the business-tobusiness purchase and sale of supplies
and services
Outsomcing and Partnerships
An arrangment in which a company provides services for another
company that could also be done or have usually been provided in-house.
Discussion

Forecast Fitter Snackers sales for January through June. Make the sales growth rate
of 5%, and calculate the base projection using the previous years values (shown in
the following figure). Assume that the special marketing promotion last year resulted
in an increase in sales of 400 cases for January, and that a special marketing
promotion this year will result in an increase in sales for April of 200 cases. Prepare
the sales forecast for January until June.
Sales forecasting
Previous year
Promotion sales Previous year base
Growth 5 % +
Base projection
Promotion +
Sales forecast

Jan
6702
400
6302
315
6617

Feb
6327

Mar
6215

Apr
6007

May
5954

June
5813

6327
316
6643

6215
310
6520

5954
297
6251

5813
290
6103

6617

6643

6520

6007
300
6307
200
6507

6251

6103