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Module 3: Plan Supply - Coggle Diagram

- - - - Master scheduling is a process that a master scheduler uses to produce a master schedule based on the production plan and other inputs, and the key line or output of this schedule or grid is a master production schedule (MPS).
      - Scheduling: The act of creating a schedule, such as a shipping schedule, master production schedule, maintenance schedule, or supplier schedule.
      - Master scheduling: The process where the master schedule is generated and reviewed and adjustments are made to the master production schedule to ensure consistency with the production plan. The master production schedule (the line on the grid) is the primary input to the material requirements plan.
      - Master schedule: A format that includes time periods (dates), the forecast, customer orders, projected available balance, available-to-promise, and the master production schedule. It takes into account the forecast; the production plan; and other important considerations such as backlog, availability of material, availability of capacity, and management policies and goals.
      - Master production schedule (MPS): A line on the master schedule grid that reflects the anticipated build schedule for those items assigned to the master scheduler. The master scheduler maintains this schedule, and in turn, it becomes a set of planning numbers that drives material requirements planning.
    - - 目标
        
        Produce what sales and production mutually agree should be produced in the priority in which it should be produced.
        
        Maintain customer service at the targeted level.
        
        Make the most efficient and effective use of resources (materials, labor, and equipment).
        
        Keep inventories and/or backlogs at the desired levels.
        
        Enable valid order promises.
    - - A primary purpose of master scheduling is to disaggregate, or split up, the production plan from product families into individual end items.
        
        Make-to-stock with standardized product offerings will plan finished goods.
        
        Assemble-to-order will plan components, modules, or options (work in process).
        
        Make- and engineer-to-order may plan raw materials.
      - Another important type of disaggregation is to break larger time buckets into smaller ones—typically moving from months to weeks.
      - Thus a purpose of master scheduling is to provide the input that drives material requirements planning.
      - Other inputs to master scheduling include detailed item-level forecasts as well as actual orders from customers or supply chain partners such as distribution centers or other sources of independent demand
      - Some additional inputs to master scheduling include capacity constraints from rough-cut capacity planning, lot sizes (minimum production quantities for the item), opening inventory or backlog data from production and inventory databases, and desired ending inventories or ending backlogs from the production plan.
      - The MPS is a key output of master scheduling, and it becomes a direct input to material requirements planning (MRP).
    - - Disaggregate the production plan into preliminary master schedules per item.
      - Aggregate master schedules for all related end items.
      - Perform rough-cut capacity planning.
      - Resolve the differences and publish the master production schedule.
  - - - 定义: the sum of the master production schedules for the items within the product family must equal the production plan for that family
      - A workable preliminary master schedule条件：
        
        Valid schedule. Workers should know when to begin and end production of individual units.
        
        Valid capacity. Production per period and in total should stay within any production limits set in the production plan.
        
        Valid inventory or backlog. There should be no negative inventory balances or strong imbalances among individual products. Backlogs per period should be managed within tolerances.
        
        Valid changeovers. The number of changeovers should be costeffective.
        
        Valid batches and lots. Production batch and lot size policies (if any) should be honored.
    - - Projected available balance (PAB)
        
        An inventory balance projected into the future. [PAB=beginning PAB + scheduled MPS receipt - demand]
  - - - Whenever multiple products use the same resources over the same time horizon, their master schedules need to be aggregated, or grouped back together, prior to checking to see if there is sufficient capacity
  - - - Rough-cut capacity planning (RCCP): The process of converting the master production schedule into requirements for key resources often including labor, machinery, warehouse space, suppliers’ capabilities, and, in some cases, money.
  - - - Required capacity or load 和available capacity for any critical resources进行比较，然后调整方法使之适应。最后再发布MPS
    - - Planning horizon: The amount of time a plan extends into the future. For a master schedule, this is normally set to cover a minimum of cumulative lead time plus time for lot sizing low-level components and time for capacity changes of primary work centers or of key suppliers. For longer-term plans, the planning horizon must be long enough to permit any needed additions to capacity.
      - Cumulative lead time: The longest planned length of time to accomplish the activity in question. 就是bill of material里面的最长lead time，还需要考虑子组件的lead time
    - - The final assembly schedule will be the time required to assemble the components needed for the specific order, not to order or produce these components,只是最后组装的时间，不是子配件的制造时间
      - The master schedule time horizon will include the lead time needed to assemble the order plus lead times for components
    - - System nervousness is a term commonly used to describe a production environment that has become inefficient due to too many last-minute changes to production.
      - Time fence: A policy or guideline established to note where various restrictions or changes in operating procedures take place. For example, changes to the master production schedule can be accomplished easily beyond the cumulative lead time, while changes inside the cumulative lead time become increasingly more difficult to a point where changes should be resisted. Time fences can be used to define these points
      - Demand time fence and frozen zone. The demand time fence creates a frozen zone, where all capacity and materials are committed to specific orders. Demand in the frozen zone is based on customer orders, not the forecast. Therefore, the projected available balance (PAB) is calculated using the “Customer orders” line and the forecast is not used. 这是具体期限也是管理层的决定，另外计算PAB是，这个期限要用实际订单，而不是forecast
      - The planning time fence creates a middle zone that is called slushy because the master scheduler has the authority to make changes. The longest cumulative lead time of the product almost always defines where the planning fence is located. The PAB is calculated in this and the next zone using the higher of customer orders or the forecast. 最后一句计算PAB减去的是actual order和forecast里高的那个
      - In the liquid zone, the scheduling software might automatically make changes without requiring input from the master scheduler, and other manual changes can also be made.
    - - Ending PAB before the demand time fence: prior period PAB + scheduled MPS receipt - customer order
      - Ending PAB before the demand time fence: prior period PAB + scheduled MPS receipt - Greater of customer orders or forecast
    - - Order entry: The process of accepting and translating what a customer wants into terms used by the manufacturer or distributor.
      - Order promising: The process of making a delivery commitment (i.e., answering the question, “When can you ship?”).
      - Available-to-promise (ATP): In operations, the uncommitted portion of a company’s inventory and planned production maintained in the master schedule to support customer-order promising
      - Available inventory: The on-hand inventory balance minus allocations, reservations, backorders, and (usually) quantities held for quality problems. Often called beginning available balance.
      - On-hand balance: The quantity shown in the inventory records as being physically in stock
    - - First period ATP = PAB - Sum of customer orders before period containing first schedule MPS receipts
        
        ATP for periods containing MPS = scheduled MPS receipts - Sum of customer orders before next period containing scheduled MPS receipt
      - Reduce the prior ATP by the amount by which the next ATP would be negative, and then add this amount to the negative ATP field so it is no longer negative.
    - - Capable-to-promise (CTP): The process of committing orders against available capacity as well as inventory. 根据可用容量和库存提交订单的过程。
- - - - Capacity: The capability of a worker, machine, work center, plant, or organization to produce output per time period. Capacity required represents the system capability needed to make a given product mix (assuming technology, product specification, etc.). As a planning function, both capacity available and capacity required can be measured in the short term (capacity requirements plan), intermediate term (rough-cut capacity plan), and long term (resource requirements plan). Capacity control is the execution through the I/O control report of the short-term plan.
      - Capacity management: The function of establishing, measuring, monitoring, and adjusting limits or levels of capacity in order to execute all manufacturing schedules (i.e., the production plan, master production schedule, material requirements plan, and dispatch list).
      - Capacity planning: The process of determining the amount of capacity required to produce in the future. This process may be performed at an aggregate or product-line level (resource requirements planning), at the master-scheduling level (rough-cut capacity planning), and at the material requirements planning level (capacity requirements planning).
    - - At the resource planning level, the production plan is validated against long-term capacity, and the output is a production plan by product family. Resource planning will also be used at this point to plan for capital expenditures on property, plant, and equipment and divestitures of the same as well as other long-term things like workforce planning and training.
      - At the rough-cut capacity planning (RCCP) level, the priority plan for end items is validated against bottleneck work centers, critical materials, and overall labor.
      - At the material requirements planning (MRP) level, the preliminary material requirements plan is sent to capacity requirements planning (CRP) in the form of planned and open orders. These are translated into load on specific work centers, which is compared to their available capacity. Once capacity is validated by resolving any differences, the material requirements plan is sent to the execution stage.
    - - Capacity available: The capability of a system or resource to produce a quantity of output in a particular time period.
      - Capacity required: The capacity of a system or resource needed to produce a desired output in a particular time period.
      - Load: The amount of planned work scheduled for and actual work released to a facility, work center, or operation for a specific span of time. Usually expressed in terms of standard hours of work or, when items consume similar resources at the same rate, units of production.
      - Capacity is a rate, not a quantity. Capacity available is then a rate of production. Capacity required is the rate at which work needs to be done. Load is a quantity for a given time period.
    - - Standard time: The length of time that should be required to (1) set up a given machine or operation and (2) run one batch or one or more parts, assemblies, or end products through that operation. Used in determining machine requirements and labor requirements. Assumes an average worker who follows prescribed methods, and allows time for personal rest to overcome fatigue and unavoidable delays. Also frequently used as a basis for incentive pay systems and as a basis of allocating overhead in cost accounting systems.
    - - Calculate the capacity available. (This will be the rated or demonstrated capacity.)
      - Calculate the load per time bucket (capacity required), and determine differences between capacity available and capacity required.
      - Resolve differences. Adjust available capacity first, and, if necessary, change the priority plan to match capacity available.
  - - - CRP: The function of establishing, measuring, and adjusting limits or levels of capacity. In this context, the term refers to the process of determining in detail the amount of labor and machine resources required to accomplish the tasks of production. Open shop orders and planned orders in the MRP system are input to CRP, which through the use of parts routings and time standards translates these orders into hours of work by work center by time period.
    - - Planned Order Releases and Open Orders未结订单
        
        Planned order releases come from the proposed material requirements plan.
        
        Open orders (scheduled receipts on the MRP record) are those orders that have already been released, so these will be contained in a shop order file, which is a file of all the manufacturing orders (open shop orders) that are waiting to start operations or are work in process. Open orders will provide information on quantities, due dates, and operations
      - Input
        
        包括requirements in the form of planned order releases and open orders未结订单, routings工艺路线, the shop calendar车间日历, and information from the work center files on capacity and lead times.
      - Routings, P364
        
        Information detailing the method of manufacture of a particular item. It includes the operations to be performed, their sequence, the various work centers involved, and the standards for setup and run. In some companies, the routing also includes information on tooling, operator skill levels, inspection operations and testing requirements, and so on. Routings might also include information on alternate work centers that can perform the same operation.
      - Manufacturing Calendar (Shop Calendar)
        
        a calendar used in inventory and production planning functions that consecutively numbers only the working days so that the component and work order scheduling may be done based on the actual number of workdays available.
      - Work Center Capacity and Lead Time
        
        Work center/load center: a specific production area, consisting of one or more people and/or machines with similar capabilities, that can be considered as one unit for purposes of capacity requirements planning and detailed scheduling.
        
        Lead time: A span of time required to perform a process (or series of operations).… Individual components of lead time can include order preparation time, queue time, processing time, move or transportation time, and receiving and inspection time.
        
        Queue time (and queue): The amount of time a job waits at a work center before setup or work is performed on the job. Increases in queue time result in direct increases to manufacturing lead time and work-in-process inventories.
        
        Queue: A waiting line. In manufacturing, the jobs at a given work center waiting to be processed. As queues increase, so do average queue time and work-in-process inventory.
        
        Setup time: The time required for a specific machine, resource, work center, process, or line to convert from the production of the last good piece of item A to the first good piece of item B.
        
        Setup: 1) The work required to change a specific machine, resource, work center, or line from making the last good piece of item A to making the first good piece of item B. 2) The refitting of equipment to neutralize the effects of the last lot produced (e.g., teardown of the just-completed production, preparation of the equipment for production of the next scheduled item).
        
        Run time: The time required to process a piece or lot at a specific operation. Run time does not include setup time.
        
        Wait time: The time a job remains at a work center after an operation is completed until it is moved to the next operation. It is often expressed as a part of move time.
        
        Move time: The time that a job spends in transit from one operation to another in the plant. 也叫transit time
        
        Transit time: A standard allowance that is assumed on any given order for the movement of items from one operation to the next.
        
        The sum of all these components is the lead time. lead time分成两块，The sum of setup and run time is called the operation time, which is the load placed on the work center. The queue, wait, and move times constitute the time taken between operation times, so this adds to total lead time but not to the load on the work center.
        
        Internal setup time: The time associated with elements of a setup procedure performed while the process or machine is not running.
        
        External setup time: The time associated with elements of a setup procedure performed while the process or machine is running.
    - - It is important to note that these standards will need to be updated when any inputs or assumptions used to make the assessment change.
    - - 定义
        
        The expected output capability of a resource or system. Capacity is traditionally calculated from such data as planned hours, efficiency, and utilization. The rated capacity is equal to hours available × efficiency × utilization
      - Available Time
        
        The number of hours a work center can be used, based on management decisions regarding shift structure, extra shifts, regular overtime, observance of weekends and public holidays, shutdowns, and the like. 公式: Available Time=Equipment or Workers*Hours in Time Bucket
      - Utilization
        
        A measure (usually expressed as a percentage) of how intensively a resource is being used to produce a good or service. 公式: Utilization=Hours Actually Worked/Available Time
      - Efficiency
        
        A measurement (usually expressed as a percentage) of the actual output relative to the standard output expected. 公式: Efficiency=Standard Hours Produced/Hours Actually Worked 他这个公式有点乱，就按照常规的效率理解计算
    - - 定义：proven capacity calculated from actual performance data, usually expressed as the average number of items produced multiplied by the standard hours per item.
      - 另一个公式：Demonstrated capacity=Sum of Standard Hours per Time bucket/Number of Time Bucket
    - - Productivity: An overall measure of the ability to produce a good or a service. It is the actual output of production compared to the actual input of resources.
      - Yield: The amount of good or acceptable material available after the completion of a process. Usually computed as the final amount divided by the initial amount converted to a decimal or percentage.
    - - Calculating Operation Time per Work Order
        
        The operation time per work order is the sum of the setup time and the run time components of the lead time for each work order (planned or open). Each order is calculated separately for each work center in the routing. Operation time=Setup time+rRun time
      - Simulating Order Scheduling (Back Scheduling)
        
        Back scheduling/Backward scheduling: A technique for calculating operation start dates and due dates. The schedule is computed starting with the due date for the order and working backward to determine the required start date and/or due dates for each operation.
        
        Inputs: 1. Quantity, due date, and operation time per work order. 2. Operations sequence from the routing. 3. Queue, wait, and move times from the work center file. 4. Work center rated or demonstrated capacity from the work center file.
        
        Steps: 1. For each work order, calculate the operation time and determine the queue, wait, and move times at each work center in the sequence shown on the routing.
        
        Starting with the due date, schedule backward, deducting the wait and move time to find the final operation finish date, then deducting the operation and queue times to find the start date, and then repeating for the next operation until the initial operation start date is determined.
      - Establishing Load Profiles
        
        Load profile/Load projection/Load report: a display of future capacity requirements based on released and/or planned orders over a given span of time
        
        The released load would be the sum of all open orders (scheduled receipts) that are scheduled to be processed at the work center in each week based on the simulated schedule.
        
        The planned load would be the sum of all planned orders and firm planned orders that were also part of the simulated scheduling process.
        
        The total load=The planned load+The released load
    - - When these options have been explored and exhausted, the next step in resolving differences is to alter the load.
        
        Changing lot sizes or rescheduling certain orders with different due dates.
      - Resolving differences starts by working to increase capacity whenever possible
        
        Hiring or laying off workers may be possible in the time horizon, but equipment must be available for the workers’ use.
        
        Leasing more equipment may or may not be possible.
        
        Adding an additional work shift (or removing one) is another option when equipment is a constraint that cannot be changed in the given time.
        
        Subcontracting might be used to provide additional supply to meet the demand.
        
        Alternate routings might be used to shift some demand to another work center.
        
        Finally, it may be possible to improve processes, such as by reducing setup or run time.
- - - - First, MRP systems need to determine material requirements precisely in terms of what, how much, and when.
      - Second, since real systems are dynamic rather than static, MRP must adapt to changing priorities.
    - - Material requirements planning (MRP): A set of techniques that uses bill of material data, inventory data, and the master production schedule to calculate requirements for materials
      - Time-phased MRP begins with the items listed on the MPS and determines (1) the quantity of all components and materials required to fabricate those items and (2) the date that the components and material are required.
      - The basic function of MRP is to transform independent (forecasted) demand into dependent (calculated) demand.
    - - Inputs, P313
        
        三个inputs: master production schedule, bills of material, and inventory records. The inventory records input is split into planning factors (static information that changes rarely) and inventory status (dynamic information that is updated after any related transaction occurs).
      - Process and Outputs
        
        MRP takes the end-item due dates and quantities from the master production schedule and the other inputs just discussed and creates a time-phased priority plan. This plan proposes order release dates and the corresponding order receipt dates for purchasing and production.
    - - Definition
        
        A listing of all the subassemblies, intermediates, parts, and raw materials that go into a parent assembly, showing the quantity of each required to make an assembly.
      - Bill of Material Concepts
        
        Single unit. Bills of material list all the parts needed to make exactly one unit (of Part Number 100 in this example).
        
        Unique identifier. Each part gets a unique part number
        
        Quantities and units. BOMs list the quantity of each part used to make one unit, and the unit of measure is specified
        
        Scope. BOMs clearly indicate what is and is not used in a unit.
      - Independent Versus Dependent Demand, P317
        
        If a component in the lower structure is sold independently, such as for replacement parts, then the top level of its BOM would represent both independent and dependent demand.
      - Parent-Child (or Parent-Component) Relationship
        
        A parent-child relationship is a hierarchical relationship with specific rules.
        
        a parent item as “the item produced from one or more components.”
        
        A child (or component) is one of the components or raw materials that comprise the parent.
        
        Note that the top level is marked as level 0. Level 0 is used in multilevel bills to indicate the top level of independent demand items.
      - How BOMs Are Used
        
        Engineering will create or modify these bills when they develop new or improved products
        
        Customer service and service parts departments will use bills of material, for example, to ensure that the right replacement part is issued
        
        Bills of material are useful for finance because they help determine the direct materials used in the product
        
        Finally, manufacturing planning and control, including planning, purchasing, and execution functions, uses bills in the ways already discussed: to determine what to order or make in each period and to know what is needed to make it.
    - - Single-Level BOMs
        
        定义: A display of components that are directly used in a parent item. It shows only the relationships one level down.
      - Multilevel BOMs, Including Indented and Summarized Bills
        
        Multilevel bill of material: A display of all the components directly or indirectly used in a parent, together with the quantity required of each component
        
        Indented bill of material: A form of multilevel bill of material. It exhibits the highest-level parents closest to the left margin, and all the components going into these parents are shown indented toward the right.
        
        Summarized bill of material: A form of multilevel bill of material that lists all the parts and their quantities required in a given product structure.
    - - Definition: An artificial grouping of items or events in the bill-of-material format used to facilitate master scheduling and material planning. It may include the historical average of demand expressed as a percentage of total demand for all options within a feature or for a specific end item within a product family.
    - - The quantities to be received in a given period are called planned order receipts.
      - scheduled receipts是实际付过钱的，planned order receipt和planned order release只是计划而已
      - pegging: In MRP and MPS, the ability to identify for a given item the sources of its gross requirements and/or allocations. Pegging can be thought of as active where-used information.
      - 全面的Comprehensive MRP records. Every end item, component, and subcomponent needed over the planning horizon will have its own MRP record
      - Action bucket (period 1). The first period in an MRP record is always the current time period. It is called the action bucket, because this is when planned order releases may (or may not) actually be released.
      - Planning horizon. The number of periods is at least as long as the cumulative product lead time.
      - Time buckets. Here weeks are shown, but many MRP systems now plan using daily buckets. A bucketless system might also be used, which is one that lists only specific dates that have some MRP activity to plan.
      - Availability. Scheduled receipts are available at the beginning of the time period in which they are shown, and due dates for receiving or releasing planned orders are at the beginning of the period shown.
      - Projected available. The projected available shows the balance at the end of that period (not the beginning), after all deductions have been made
      - Other inputs. Lead times, lot sizes, and opening inventory will be inputs to MRP rather than part of the MRP record itself.
    - - Bill-of-Material Explosion (Exploding)
        
        Bill-of-material explosion: The process of determining component identities, quantities per assembly, and other parent-component relationship data for a parent item. Explosion may be single level, indented, or summarized.
        
        Requirements explosion: The process of calculating the demand for the components of a parent item by multiplying the parent item requirements by the component usage quantity specified in the bill of material.
        
        Explode: To perform a bill-of-material explosion :
      - Lead-Time Offset (Offsetting)
        
        Lead-time offset: A technique used in MRP where a planned order receipt in one time period requires the release of that order in an earlier time period based on the lead time for the item.
        
        Planned order receipt: The quantity planned to be received at a future date as a result of a planned order release. Planned order receipts differ from scheduled receipts in that they have not been released.
        
        Planned order release: A row on an MRP table that is derived from planned order receipts by taking the planned receipt quantity and offsetting to the left by the appropriate lead time.
    - - Gross requirement: The total of independent and dependent demand for a component before the netting of on-hand inventory and scheduled receipts.
      - Net requirements: In MRP, the net requirements for a part or an assembly are derived as a result of applying gross requirements and allocations against inventory on hand, scheduled receipts, and safety stock. After being lot-sized and offset for lead time, net requirements become planned orders. 公式：Net requirement = Gross requirements - scheduled receipts - prior available 你需要的 - 你有的/你收到的/不包括计划收到
      - Scheduled receipt: An open order that has an assigned due date.
      - Projected available = prior period projected available + scheduled receipts + planned order receipts - gross requirements 你有的/你收到的/包括你计划收到的 - 你需要的**
    - - Rather than showing buckets, these systems list the actual dates for actions or other events and omit periods in which there is no activity.
      - :
- - - - Scheduling is sometimes/final assembly scheduling(FAS): A schedule of end items to finish the product for specific customers’ orders in a make-to-order or assemble-to-order environment. The FAS is prepared after receipt of a customer order as constrained by the availability of material and capacity, and it schedules the operations required to complete the product from the level where it is stocked (or master scheduled) to the end-item level.
      - Job shop scheduling: the production planning and control techniques used to sequence and prioritize production quantities across operations in a job shop.
    - - 目标objective: Scheduling aims to ensure that delivery dates are met while using manufacturing resources as efficiently and effectively as possible.
      - The scheduling techniques presented next include backward and forward scheduling, infinite and finite loading, and drum-buffer-rope scheduling.
      - Backward Scheduling/
        back scheduling, P393
        
        Backward scheduling works backward from the due date to find the latest time the operation could start.
        
        Backward schedules minimizes work-in-process inventory levels/but it leaves little room for error/backward scheduling is often used to keep inventory and other resource costs as low as possible.
      - Forward Scheduling
        
        A scheduling technique where the scheduler proceeds from a known start date and computes the completion date for an order, usually proceeding from the first operation to the last. Dates generated by this technique are generally the earliest start dates for operations.
        
        通常早于due date生产完成，所以会有增加inventory cost。
      - Infinite Loading
        
        calculation of the capacity required at work centers in the time periods required regardless of the capacity available to perform this work
        
        Infinite scheduling can be useful when work centers can increase their capacity a certain extent, such as by using overtime on a regular basis. Another example of why it might be useful is because schedules are based on standard hours, which will differ from the actual hours required in many instances, especially since there may be learning curves that are difficult to account for and many standard-hour estimates have some built-in slack time added.
      - finite loading
        
        Assigning no more work to a work center than the work center can be expected to execute in a given time period. The specific term usually refers to a computer technique that involves calculating shop priority revisions in order to level load operation by operation.
        
        One use for finite loading even when infinite loading is the primary method is to identify areas where unanticipated excess capacity exists.
      - Backward, Forward, Infinite, and Finite Compared, P396
        
        Finite forward scheduling: An equipment scheduling technique that builds a schedule by proceeding sequentially from the initial period to the final period while observing capacity limits. A Gantt chart may be used with this technique.
        
        backward,forward scheduling和infinite，finite的组合情况
        
        finite和infinite的比较
      - Drum-Buffer-Rope Scheduling
        
        When scheduling is based on the rate of a constraint or a capacity constrained resource, the idea is to set the rate of the other work centers, starting with the gateway work center, to produce at the rate set by the constraint
        
        鼓是指生产系统中的控制点。如果系统中存在瓶颈，那么瓶颈就是最好的控制点。缓冲器是指在瓶颈前面设置的缓冲库存。缓冲器是一种时间缓冲，其目的是希望加工中心D总有工作要做，至于何种产品正在被加工并不重要。绳子是指将瓶颈已加工的情况传递给上游作业的信息的传递，其目的是为了按需生产，以避免库存增加。作为信息传递的绳子既可以是正式的，也可以是非正式的。
    - - Advanced planning and scheduling (APS) systems: which can provide promise dates based on finite capacity as well as optimization of schedules. APS software can coordinate the capacity and load of multiple plants or ERP systems. APS systems propose several feasible production scenarios for managers to evaluate.
      - Overlapping: Overlapping occurs when the completed portion of an order at one work center is processed at one or more succeeding work centers before the pieces left behind are finished at the preceding work centers.
      - Splitting reduces an operation’s lead time by splitting the lot into smaller portions and running each portion on duplicate equipment and tooling.
    - - Once a schedule is prepared, the production coordinator needs to ensure that all tooling and other resources will be available so the work can proceed.
    - - A shop order packet includes the shop order (manufacturing order), which is an authorization for the specified quantity of a specific part number to be made
      - manufacturing order: a document, group of documents, or schedule conveying authority for the manufacture of specified parts or products in specified quantities.
      - work order: 1) An order to the machine shop for tool manufacture or equipment maintenance; not to be confused with a manufacturing order. 2) An authorization to start work on an activity (e.g., maintenance) or product
- - - - Enterprise Resources Planning (ERP): Framework for organizing, defining, and standardizing the business processes necessary to effectively plan and control an organization so the organization can use its internal knowledge to seek external advantage. An ERP system provides extensive databanks of information including master file records, repositories of cost and sales, financial detail, analysis of product and customer hierarchies, and historic and current transactional data.
      - The first iteration of manufacturing planning and control systems involved open-loop material requirements planning (MRP) controlling the timing and release of materials into a production process.
      - The next iteration was to add capacity checks at the master scheduling and MRP stages to ensure feasibility, and this feedback loop defined the major advancement of these systems,
      - Closed-loop MRP: A system built around material requirements planning that includes the additional planning processes of production planning (sales and operations planning), master production scheduling, and capacity requirements planning. Once this planning phase is complete and the plans have been accepted as realistic and attainable, the execution processes come into play. These processes include the manufacturing control processes of input-output (capacity) measurement and detailed scheduling and dispatching, as well as anticipated delay reports from both the plant and suppliers, supplier scheduling, and so on.
      - The third iteration, manufacturing resource planning (called MRP II to avoid confusion with material requirements planning), further integrated production, finance, and marketing
      - Manufacturing resource planning (MRP II): A method for the effective planning of all resources of a manufacturing company. Ideally, it addresses operational planning in units and financial planning in dollars, and has a simulation capability to answer what-if questions. It is made up of a variety of processes, each linked together: business planning, production planning (sales and operations planning), master production scheduling, material requirements planning, capacity requirements planning, and the execution support systems for capacity and material. Output from these systems is integrated with financial reports such as the business plan, purchase commitment report, shipping budget, and inventory projections in dollars. Manufacturing resource planning is a direct outgrowth and extension of closed-loop MRP.