Assume that if the product requested is not in stock, it needs to be manufacture
ID: 3704115 • Letter: A
Question
Assume that if the product requested is not in stock, it needs to be manufactured
before the order handling can continue. In this way, an order can never be rejected.
To manufacture a product, the required raw materials have to be ordered. Two
preferred suppliers provide different types of raw material. Depending on the prod-
uct to be manufactured, raw materials may be ordered from either Supplier 1 or
Supplier 2, or from both. Once the raw materials are available, the product can be
manufactured and the order can be confirmed. On the other hand, if the product
is in stock, it is retrieved from the warehouse before confirming the order. Then
the process continues normally. After confirming the order, the shipment address is
received and the requested product is shipped while the invoice is emitted and the
payment is received. Afterwards, the order is archived and the process completes.With respect to the above process, use the following report format and provide
necessary discussion under each section:
1. Assumptions & Simplifications
- State all assumptions are made to abstract the system in the conceptual
model.
- Describe any simplifications are made during the abstraction process.
need help with clean explaination
Explanation / Answer
In simulation we need to classify product range into stock and make to order and for make to stock
and to order, and for make to stock type of product we can have check for stock availity,
we also need key in factor for supplier selection like lead time and raw material cost. so has
to have optimal selection, we need criteria for classifying into make to order or make to stock
can be based on service level and lead time