Global Essay

1174 Words Aug 13th, 2013 5 Pages
Introduction
PPQ parts needs best software packages for its Firms. They need to choose materials requirement planning (MRP), capacity requirement planning (CRP), and enterprise resource planning (ERP) to run firm smoothly. Before choosing any software we need to see what each device does and what its benefits are.
Materials Requirement Planning (MRP)
MRP is used for planning projects. It is a system to plan productions. It helps to manage inventory and control parts of inventory. It helps to control Manufacturing details in the system. This system works through electronics. MRP is worked through computers methods. It can also be done manually as well but can take more time. MRP system needs to be sure about available material and when
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Each company has its own capacity to produce product. Organization capacity depends on on changes in production output, such as increasing or decreasing the production quantity of an existing product, or producing new products. Customers demand increase because of new techniques, equipment and materials, and new machines. This Computer system determines Pros and Cons of Production.
This system is one of the best operating system to go with demand. If company chooses to produce large cushions with high demands, by using this system company will be able to fulfill customers demand. It is important to satisfy customers in this competitive world. A work center keeps fixed cost for organizations who buys large number of goods. They also give discounts on raw material. The more products a work center can produce while not increasing the fixed costs maximizes the profit. When production increase there is rise in cost that is when diseconomies occur. For example, by operating machinery at regular basis may increase profit, if these practices continue machinery will break down and then increase cost.
CRP is use to determine result of companies strategic planning. There are hospitals that use CRP system. This system is used by registered nurse to find whether they need to to hire them to care for the projected patient load. They can also check whether they need to increase size of the hospital by building more rooms for patient. CRP also track information

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