Develop a master production schedule for the breadmaker. What do the projected ending inventory and available-to-promise numbers look like?

Bus 307 operations management & quantitative techniques

The master production schedule for the breadmaker will depend upon the quantity of raw materials and components needed to produce the final product. This includes inventory items like flour, sugar, yeast, salt, margarine or butter, eggs and other ingredients. Once these materials have been purchased and delivered to the factory, then a production schedule can be developed based on estimated demand for the finished goods.

For example, if 500 units are expected to be sold each day over a one-week period from Monday to Sunday then this would result in a production requirement of 3500 units (500 x 7 days). If it takes 1 hour to make each unit then this means that 3500 hours of labor must be allotted during that week as well. The projected ending inventory after all orders have been fulfilled would likely consist of any excess products not sold (i.e., perhaps 200-400 remaining units depending on how many were ordered overall). The available-to-promise number would refer to the maximum amount of product that could potentially be made within a given time frame according to current stock levels—with any additional orders requiring more resources being put into place first before they can become available again in future weeks/months.