Arborcrest – material ordering spreadsheet



Material Ordering Spreadsheet


Learning Objectives:

After completing this assignment:

· You will have a Spreadsheet that calculates the quantity of Raw materials that need to be purchased based on the Recipe of Arborcrest Alicat Ale, Edgar, Taj Mahal beers. This spreadsheet can be used for the Team Simulation Scenario 110 to determine materials requirement. 

· You should be able to FLUENTLY use the following Excel functions and features.

Inserting columns

Changing column widths

Formatting cells:

Number, bold, alignment, orientation, fill color, clearing errors

Adding cell borders

Removing Duplicate Vlues

Copying and pasting cells

IF function

Conditional Formatting

Assigning color to cell based on value 



Download the spreadsheet Arborcrest_beer_requirements_calculation.xls and save it as Arborcrest_beer_requirements_calculation _firstname_lastname.xlsx, where firstname and lastname are YOUR first and last name.

The Spreadsheet has two tabs:

· Tab 1: Std. Material BOM

· Tab 2: Scenario 110 Recipes


Begin in Tab 2: “Scenario 110 Recipe”

There is a table in range: K1: L4. This protion of the spreadshee will drive the number of batches per flavor. Example if you need to purchase materials for 2 batches of AliCat, enter “2” in cell L2. The same applies for the Edgar and Taj Mahal flavors.


Copy and paste all the ingredients used on AliCat, Edgar and Taj Mahal in column “I” below “2-Raw Malt”. IMPORTANT: make sure to Remove any duplicate Raw Material. For example: “Carapils Malt” should only show once in the list and NOT three times. The list or Raw materials should be a complete and continuous (without spaces) list of raw materials used for all three flavors without any duplicates. 

To remove duplicates:

· Highlight the list

· Removing Duplicates: Go to the Data Menu, Data Tools Grouping, select “Remove Duplicates”


· In the next Dialogue box select “Continue with the current selection”, then click on “Remove Duplicates”, in the next dialogue box select OK

· This will generate a complete list of Raw materials without duplicates.

· Adjust width of Column “I” to fit the widest Raw Material name


In this step you will create & format the formulas that will drive the requirements for the different Raw Materials.

First let’s understand the formulas in I8, J8, K8, L8

Cell I8: It contains the name of the Raw Material. Note: this material can be used in multiple Flavors. i.e. “2-Row Malt” is used in all three flavors (Alicat, Edgar and Taj Mahal)

Cell J8: this is a numerical input. This is the initial Inventory for the Raw Material. Note: When running the Team Simulation Scenario 110, this value can be downloaded from it.

Cell K8: This formula uses the number of batches of AliCat, Edgar & Taj Mahal to calculate the quantity or Raw Materials the need to be purchased.  This formula will have to be modified further to determine the material requirements for all other materials.

Example: Cell K8 shows formula: “  = L2*D8+L3*D20+L4*D32 “ 

L2, L3 and L4 are the batches needed for the three flavors of beer.

D8, D20, and D32 are the quantity of 2-Row malt needed by Flavor by batch

By multiplying L2*D8 you get the quantity of “2-Raw Malt” needed for AliCat. The entire formula calculates how much “2-Raw Malt” is needed for all three flavors.

It’s important to make sure the formulas refer to the correct raw materials and flavor. 

For example: 

· “Wheat Malt” is only used in AliCat and NOT in Edgar or Taj Mahal. Therefore, the formula to calculate the total quantity of Wheat Malt is “ = L2*D9 ”. 

·  “Carapils Malt” is used in all three flavors (similar as 2-Row Malt )

Follow the same logic for all Raw Materials starting in row 8 through row 21 (All raw materials)

Cell L8:  Formula in Column “L” determines if you have to purchase materials and how much to purchase. This column should turn Red if you do not have enough raw materials. You change colors using “Conditional Formatting”

· First determine if you have enough raw materials and how much to purchase if you don’t have enough to cover for the production run. You do this using an If/Then Excel formula: “ =IF(K8>J8,K8-J8,0) “. This formula reads: If the value in cell K8 ( “Required” ) is greater than the value in cell J8 ( “ Initial Inventory” ) then perform and display the following calculation: “ K8 – J8 “. If the value in cell K8 is not greater than J8 (is less or equal to J8), then put the value of “0” in L8. This is basically saying if the required inventory is greater than the initial inventory, then display how much more you need to purchase for the production batch. If the required amount or Raw Materials is less than the Initial Inventory, then put a “0” because you have enough raw materials to run the batches needed.

· Conditional Formatting: Format the Cell Red if the value is greater than 0.

· Click on cell L8 (Put your cursor on L8)

· Under the Home tab in Excel, select Conditional Formatting, then select “New Rule”. The dialogue box below will show:

· The select the second option: “Format only cells that contain”, then enter the following logic.  If the cell value is greater than 0 then format fill Red. Click on Format to select “Fill” color. Then OK.

· Copy formula in L8 down to L21 “Fuggle Hops”


Test your spreadsheet by entering different values in the table K1:L4 and ensure the formulas you created calculate the raw materials requirement correctly. Test spreadsheet by entering different values in L2, L3 & L4  (i.e. enter 1, 2, 3, 4).  Upload your finished worksheet to the Dropbox in elearning.

The Spreadsheet should look like this:

Note that your spreadsheet will be tested!

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