How to Determine the Appropriate Input Mix for a Production Run of 450 Memo Pads
Paper manufacturing companies produce a variety of office supplies, such as loose leaf paper, folders or memo pads. With each production run, the company needs to determine the input quantity of each raw material to supply enough materials to complete the production run. If the company supplies too few materials for the production run, it will need to stop in the middle to refill the supplies. Companies often produce a standard quantity with each production run. For instance, the company might produce 450 memo pads with each production run. The company needs to determine the input mix of raw materials to produce 450 memo pads.
Instructions
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Identify raw materials needed to produce the memo pads. Memo pads generally use cover sheets, individual pages and a method for binding the pad together. The cover sheet could be made of cardboard or plastic. The pages may be lined or unlined. The binding may use glue or a spiral wire. Contact the marketing department and ask exactly what type of memo pad the company needs to produce.
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Create a prototype of the memo pad. Gather individual raw materials and create a sample memo pad manually. This memo pad should look exactly like the final product from the production run.
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Determine the base quantity of each raw material needed for the entire production run. Identify the quantity of materials used in the prototype. Multiply this number by 450 since that is the total quantity to be produced.
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Estimate the amount of waste each raw material will create. Some raw materials generate more waste than others. Individual sheets of paper may be jammed during production. These pages will be considered waste. Spiral bindings may generate no waste at all. Evaluate the production process and consider where waste might occur. Estimate a percentage of how many raw materials will be unusable in the production process.
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Calculate the total amount of each raw material to use in the production run. Multiply the base quantity of materials needed by the estimated percentage of waste. Add this amount to the base quantity. This determines the total amount of raw materials needed to produce the memo pads.
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List the input mix for the production run. List each raw material and the total quantity needed.
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