CH 12-14 PDF
CH 12-14 PDF
CH 12-14 PDF
MRP –
SECONDARY
REPORTS
OTHER CONSIDERATIONS Benefits and Requir.
◦ Safety Stock: one of the main advantages of 1. Low levels of in-process inventories, exact matching of
an MRP approach that there is no need for supply to demand.
Safety stock. But If safety stock is needed, 2. The ability to keep track of material requirements.
planned-order release amounts can be 3. The ability to evaluate capacity requirements generated
increased by the safety stock quantities for the by a given master schedule.
designated components. 4. A means of allocating production time.
◦ Lot Sizing: Managers can realize economies by 5. The ability to easily determine inventory usage by
grouping orders. no single plan has a clear backflushing.
advantage over the others. Requirements
◦ Lot-for-Lot Ordering: The order or run size for each 1. A computer and the necessary software programs
period is set equal to demand for that period. records
◦ Economic Order Quantity Model: for lower-level
2. Accurate and up-to-date:
items that are common to different parents and for
raw materials a. Master schedules
◦ Fixed-Period Ordering: provides coverage for b. Bills of materials
some predetermined number of periods.
c. Inventory records
3. Integrity of file data
MRP II manufacturing resources planning
◦Expanded approach to production
resource planning, involving other
areas of a firm in the planning
process and enabling capacity
requirements planning
MRP II manufacturing resources planning
JIT + LEAN
DR. SALEH ALKHATIB
Just-in-time (JIT): JIT Ultimate Goal
a balanced system.
A highly coordinated Achieves a smooth, rapid
processing system in which flow of materials through the
goods move through the system
system, and services are Supporting Goals
performed, just as they are
◦ Eliminate disruptions
needed,
◦ JIT lean production ◦ Make system flexible
◦ JIT pull (demand) system
◦ Eliminate waste, especially
◦ JIT operates with very little “fat”
excess inventory
Sources of Waste: Big vs. Little JIT
◦Overproduction ◦Big JIT – broad focus
◦ Vendor relations
◦Waiting time ◦ Human relations
◦ Technology management
◦Unnecessary ◦ Materials and inventory
transportation management
◦Little JIT – narrow focus
◦Processing waste ◦ Scheduling materials
◦ Scheduling services of
◦Inefficient work methods production
◦Product defects
Summary JIT Goals and Building Blocks
Ultimate Goal A
balanced
rapid flow
Building
Blocks
Product Process Personnel Manufacturing
Design Design Elements Planning
JIT Building Blocks
Product Design:
◦Standard parts
◦Modular design
◦Highly capable production systems
◦Concurrent engineering
JIT Building Blocks
Process Design:
◦Small lot sizes
◦Setup time reduction
◦Manufacturing cells
◦Limited work in process
◦Quality improvement
◦Production flexibility
◦Little inventory storage
JIT Building Blocks
Personnel/Organizational Elements
◦Workers as assets
◦Cross-trained workers
◦Continuous improvement
◦Cost accounting
◦Leadership/project management
JIT Building Blocks
Manufacturing Planning and Control
◦Level loading
◦Pull systems (e.g. Kanban)
◦Visual systems
◦Close vendor relationships
◦Reduced transaction processing
◦Preventive maintenance
Kanban Production
Control System Factor Traditional JIT
◦ Kanban: Card or other device that Inventory Much to offset forecast Minimal necessary to
communicates demand for work or errors, late deliveries operate
materials from the preceding station Deliveries Few, large Many, small