SAMPLE TEST

Question 1 (10 points):

Please establish the supply chain which is including inbound and outbound for any products such
as paper, coffee, car, or shoe then explain in detail each operations.

Question 2 (30 points):

ABC company delivers goods to eight towns, with locations and demands as shown as below.
Company wants to find the location for a logistics center that minimizes the average delivery time
to these towns. Where should company start looking?

Question 3 (30 points):

A furniture company currently has 150 workers. Workers have to work for 20 days per month
and 8 hours per day. The related costs are shown as table below:

There are associated costs for

Spare transport that is not used 2 $/unit

Shortage of transport 50 $/unit
Cost of moving to this function
300 $/employee
from other jobs
Cost of moving an employee from
500 $/employee
this function to other jobs
Number of employee 150 Employees
Number of unit per employee 50 Units
Regular-time cost of employee 4 $/hour
The company is developing an aggregate planning base on following strategies:
Level strategy:
Month 1 2 3 4 5 6 Total
Forecasting demand 4000 6000 24000 30000 46000 10000 120000
Cummulative forecast demand
Supply rate 20000 20000 20000 20000 20000 20000 120000
Cummulative supply
Unused supply
Shortage of supply
Cost of unsed supply
Cost of shortage
Number of employee
Cost of moving employees
Regular-time cost of employees
Total cost

Chase strategy:
Month 1 2 3 4 5 6 Total
Forecasting demand 4000 6000 24000 30000 46000 10000 120000
Cummulative forecast demand
Supply rate
Cummulative supply
Unused supply
Shortage of supply
Cost of unsed supply
Cost of shortage
Number of employee
Cost of moving employees
Regular-time cost of employees
Total cost
Conclusion:
………………………………………………………………………………………………………
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Support company to develop an aggregate plan and conclude which strategy can provide the best
solution?

Question 4 (30 points):

The XY Corporation assembles a product as shown in the product structures below. It has orders
for 420 on week 8 and 200 units on week 9 of product X. The information of each item are as table
below. Develop the MRP table and conclude the order quatity for Item C.

Item Current stock Stock on order Lot-sizing rule

X 100 0 L4L
A 200 0 L4L
B 100 0 L4L
C 200 50 (week 6) L4L
D 50 0 L4L

X
LT = 2

A (2) B (1) C (3) D (2)

LT = 2 LT = 2 LT = 1 LT = 2

C (1)
LT =1
Level:
Week 1 2 3 4 5 6 7 8 9
Gross Requirements
Stock on order
Current stock
Net requirements
Place order
Scheduled delieveries