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MATERIAL REQUIREMENT PLANNING (MRP) (CHALLANGE IN MRP (fails to account…
MATERIAL REQUIREMENT PLANNING (MRP)
CHALLANGE IN MRP
fails to account for capacity in its calculations: give result that
are impossible to implement due to manpower, machine or
supplier capacity constraints
Integrity of data : if there are many errors in the inventory
data the BOM or the MPS then the output data will also be
incorrect an dalso affected by mistakes and damages in
manufacturing
time required for planning and implementing MRP is very
long
high cost and technical complexities in implementation
WHAT IS MRP?
MRP is a production planning and inventory control system
An MRP integrated data from production schedules with that
from inventory and the bill of materials (BOM) to calculate
purchasing and shipping schedules for the parts or
components required to build a product
OBJECTIVE OF MRP
ensure planning of all manufacturing processes, this
scheduling of different job works as to minimize or remove
any kind of idle time for machine and workers
To ensure that material and components are available for
production and final products are ready for dispatch
To ensure the right quantity of material is available at the
right time to produce right quantity of final products
terms of inventory, capacity and priority in MRP
Priorities: (1) order with
the right due date (2)
keep the due date valid
inventory: (1) order the
right part (2) order the
right quantity (3) order
at the right time
capacity: (1) plan for a
complete load (2) plan
for an accurate load (3)
plan for an adequate
time to view future load
TYPES OF MRP SYSTEMS
Bill of Materials records (BOM): (1) contain information on
every item or assembly required to produce end items (2)
information on each item such as part number, description,
quantity per assembly, next higher assembly, lead times and
quantity per end item must be avaiable
inventory status records: contain the status of all items in
inventory including on hand inventory and scheduled
receipts
Master Production Schedule (MPS) (1) the demand for end
items is scheduled over a number of time priods and
recorded on a MPS (2) mps is developed from forecasts and
firm customer orders for end items, safety stock
requirements and internal orders