Which of the following is an example of implosion in distribution requirements planning (DRP)?

Which of the following is an example of implosion in distribution requirements planning (DRP)?
A . Gathering information from several field locations and aggregating it at the manufacturing facility
B . Gathering information from the manufacturing facility and distributing it to the field locations
C . Redistributing inventory from several warehouses to one central warehouse N
D . Redistributing inventory from several field locations and centralizing it at the manufacturing facility

View Answer

Answer: A

Explanation:

Implosion in distribution requirements planning (DRP) is the process of calculating the gross requirements for a supplying location based on the net requirements of its customers or demand sources1. Implosion is the opposite of explosion, which is the process of calculating the net requirements for a demand source based on the gross requirements of its customers or demand sources2. Implosion and explosion are used to synchronize the supply and demand across different levels of the distribution network3.

An example of implosion in DRP is gathering information from several field locations and aggregating it at the manufacturing facility. This example shows how the manufacturing facility, which is the supplying location, can determine its gross requirements by adding up the net requirements of its field locations, which are its customers or demand sources. This way, the manufacturing facility can plan its production and inventory levels to meet the demand from the field locations.