Suppose company manufactures paint from a base color and adds tints to arrive at the final color. Suppose there are 10 tints and a final color is made by mixing any three of them with the base. There are 70 possible colors (10*9*8=720). Forecasting and planning production for 720 items is a difficult task. It is much easier if:
- Production is planned at the level of the base color and the 10 tints. There are then only10 items with which to deal: the base color and each of the 10 tints.
- Once a customer's order is received, the base color and the required tints can be combined (assembled) according to the order
- MPS is done at the component level
- None of these
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