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chapter 17
Chapter Objectives
Explain the changing role of materials requirements planning (MRP) within a manufacturing organization. Discuss the role of MRP within an enterprise resource planning (ERP) system. Introduce the fundamental concepts and calculations that drive an MRP system. Define the various elements that make up an MRP system.
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174
Exhibit 17.1
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 175
Exhibit 17.2
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 176
Moderately firm
Allow some changes in specific products.
Flexible
Allow almost any variation in products.
177
Exhibit 17.3
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 178
Exhibit 17.4
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 179
1710
Capacity
Plan for a complete and accurate load. Plan for an adequate time to view future load.
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 1711
Objectives
Improve customer service. Minimize inventory investment. Maximize production operating efficiency.
Philosophy
Expedite materials if overall production. schedule will be delayed. De-expedite materials if schedule falls behind.
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 1712
Exhibit 17.5
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 1714
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1716
Overall View of the Inputs to a Standard MRP Program and the Reports Generated by the Program
Exhibit 17.6
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 1717
Exhibit 17.7
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 1718
Exhibit 17.8
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 1719
Part L Hierarchy in (a) Expanded to the Lowest Level of Each Item in (b)
Exhibit 17.9
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 1720
Exhibit 17.10
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 1721
Secondary reports
Planning reports Performance reports Exceptions reports
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 1722
Exhibit 17.11
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 1723
Exhibit 17.12
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 1724
Source: Romeyn C. Everdell and Woodrow W. Chamberlain, Master Scheduling in a Multi-Plant Environment, Proceedings of the American Production and Inventory Control Society (1980), p. 421.
Exhibit 17.13
The McGraw-Hill Companies, Inc., 2003 1725
The Aggregate Plan and the Master Production Schedule for Mattresses
Exhibit 17.14
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 1726
Exhibit 17.15
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 1727
Exhibit 17.16
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 1728
1729
Lot-Sizing Techniques
Lot-for-lot Economic order quantity (EOQ) Least total costs Least unit cost
1730
Exhibit 17.17
Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 1731