Space Age Furniture

The focus on this last six weeks is on material requirements planning (MRP). Successful execution of the case analysis is having a understanding on material requirements planning. MRP is implemented to advise what is needed, the amount and what it is needed by the company. MRP is management system that is computer base and the intent is for the program to help managers in their scheduling and implementing orders. These orders are of dependent demand which are pieces of completed goods. Since Space Age is a manufacturer of furniture, these would be components to complete the various items such as cushions, fabrics and frames. These systems have been around for many years and are continually evolving. Computer technology has assisted
Both of the jobs are requiring one thousand furniture pieces. SAF has the capabilities to produce the units that are being requested from both companies with the current production facility. However, the machine requires the operation of a special lathe by a skilled worker. The lathe is basically a machine tool that rotates the product on its axis to perform different operations such as cutting, sanding, knurling, drilling, or deformation, facing, turning, with tools that are put onto the work piece to facilitate an object with balance. This lathe is used to create a specific piece that will complete a part for the
Hiring another skilled machinist would double the week output to 2400 pieces per week with an excess of 400 pieces over the commissioned requirement. The company will have to do some type of detailed search because the operation of the lathe requires a skilled machinist to step right in and be able to hand the task. The company has other machinist but there is a risk in attempting to train a new machinist to create the part. The part is key to the completion of the finished product and there is no room for error in running the part. This option may not be feasible because a new operator may not have the skill level that the current machinist has and due to time constraints when attempting to train a new employee on a highly specialized machine. There have been special constrains in the case study placed on the operations manager which entail correcting the problem in the most cost effective manner possible for part 3079. The issue of overtime must be addressed in conjunction with operation of the lathe. There will have to be a analysis of the demand must be viewed thoroughly. The analysis will look at the total of two thousand units of part 3,079 that has to be created to meet the orders for Genesis and Saturn