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Which scheduling process drives requirements in the MRP process?

Short Answer

Expert verified

Master production scheduling.

Step by step solution

01

Master production schedule

MPShelps in meeting the demand in a certain time frame with the factors including the quantity of production, resources, etc.

02

MPS process drives requirements in the MRP process

MRPhelps to focus completely on the goals and keeps everyone on the same page. Whereas, talking about the MPS the first highlight that comes into mind is the common goals which create the willingness to work toward the desired goals.

For example,if we are manufacturing stationery products like books, pens, notebooks, pencils, etc.

In the starting, we have 40 pencils in our stock. The sales forecast says that we will sell 200 of them, which means we require producing 160 pencils during the given period to match the demand. As a result, the starting inventory of our next period will be 0. Because the business is stable, another 200 pencils sales will be forecast. This means that from now we will need to manufacture 200 pencils within a given period

Product A

Period1

Period2

Period3

Period4

Period5

Period6

Period7

Starting (+)

inventory

40

0

0

0

0

0

0

Sales

forecast (-)

200

200

200

200

200

200

200

Qty. to (+)

produce

160

200

200

200

200

200

200

Ending

Inventory (=)

0

0

0

0

0

0

0

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