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MATERIAL REQUIREMENT (The terms inventory, capacity and priority in MRP…
MATERIAL REQUIREMENT
What is MRP
MRP is a material control system that consist of production scheduling and inventory control. It is a computer bases system to keep an adequate inventory level to make sure that the requirement material available when needed.
The terms inventory, capacity and priority in MRP
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The objectives of MRP
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Plan activities such as manufacturing, delivery schedules and purchasing
Ensure the availability of materials, components, and products for planned production an for customer delivery
Types of MRP system
Bill of Material (BOM)
Contains of information of every items ( description. lead time, part number, quantity per assembly, next higher assembly)
Inventory Status Record
up to date status of all items, hands on and scheduled receipts from suppliers
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The challenges in MRP
Uncertainty the quantity demanded, quantity supplied, timing of demanded, timing of supply random lead time
A new MPS is fed MRP to produce updated planned order that may be a very different and small changes in MPS but can cause a large changes in the planned order
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