Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
15 Cards in this Set
- Front
- Back
|
What is a Master Production
Schedule? (I) |
• It is an anticipated schedule for
producing specific end-products – In what weeks do I need to produce (replenish) Cell Phone A, Cell Phone B etc. |
|
|
What is a Master Production
Schedule? (II) |
• Anticipated
– It might be changed at a later date • Schedule – Timing of production/replenishment a key decision • Specific – Can’t make an aggregate product - have to make an actual specific product • End-product – Master production schedule specifies the timing of replenishments for the end product not the timing of replenishments for all the input components |
|
|
Production Planning - The big picture
|
Aggregat Production Planning ->
Master Production Scheduling -> Material Requirements Planning |
|
|
Aggregate Production Planning
|
Product Families
monthly plans |
|
|
Master Production Scheduling
|
Individual Products
weekly, daily plans |
|
|
Material Requirements Planning
|
Product Components
weekly, daily plans |
|
|
Steps in Creating a Master
Production Schedule |
• Disaggregate the aggregate product forecasts
into specific product forecasts – Go from planning at a family level to planning at an individual product level – There is an art and a science to disaggregating family level forecasts to individual product forecasts – We will not be covering disaggregation in this course • Determine timing requirements for replenishments – In what weeks do I need to replenish Cell Phone A, cell Phone B, etc. |
|
|
The MPS Determines What Sales Can Promise to Customers
|
• At some stage forecasts turn into actual customer
orders – Remember that actual orders (demand) may differ from what was forecast • Before a sales person finalizes a customer order he/she needs to know whether the order can be met – What if a customer orders 100 units and the company only has 50 units? • Sales needs to know how many units are “available to promise" to customers |
|
|
Available to Promise (ATP)
Calculations |
•Current week
– ATP = Starting Inventory – Sum of Customer Orders up to but not including order in week of next MPS replenishment • MPS replenishment week – ATP = MPS Shipment Size - Sum of Customer Orders from this replenishment week up to next MPS replenishment week (include the order in this replenishment week but not the order in the next replenishment week) • Last MPS replenishment week in planning horizon – ATP = MPS Shipment Size - Sum of Customer Orders from this replenishment week up to end of horizon (include the order in this replenishment week) |
|
|
Your Initial Answer Might Be No
|
But can actually be wrong.
Can use some of the ATP from earlier weeks to fill orders. |
|
|
Implementing Successful ATP
Systems Can be Challenging |
• Lots of sales people checking on availability
• Companies make lots of products – Customers sometimes place orders for multiple products and want to know if the whole order can be met • Answer needs to be fast – Customers might not wait around • Answer needs to be accurate – Customers won’t be happy if you promise and then fail to deliver on time |
|
|
Is There Ever a Reason to Change the
MPS Replenishment Schedule |
• The schedule is based on a forecast
– Customer orders come in which may well be different from forecasts • Orders get accepted or rejected based on the initial MPS – Projected on hand and available to promise numbers get updated • Scheduler may see an opportunity to revise the MPS replenishment dates so as to better meet demand – But changing schedules can cause problems for people working to the original schedule |
|
|
Schedulers Engaged in a
Constant Balancing Act Keep Replenishment Schedule as is |
Pro: Operations function can
focus on efficiency without worrying about changes Con: May reject a customer order than could have been met |
|
|
Schedulers Engaged in a
Constant Balancing Act Change Schedule |
Pro: May be able to accept a customer order
Con: Operations function needs to juggle with changing schedules which may hurt efficiency |
|
|
Schedulers Use Concept of Frozen Zone
|
Frozen Zone: No Changes (unless high level authorization)
Slushy Zone: Scheduler may make some changes Liquid Zone: Scheduler makes frequent changes |
