65
© 2007 Pearson Education Resource Planning Chapter 15 Chapter 15 

Krajewski Chapter 15

  • Upload
    rose

  • View
    253

  • Download
    5

Embed Size (px)

Citation preview

Page 1: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 1/64

© 2007 Pearson Education

Resource Planning 

Chapter 15 Chapter 15 

Page 2: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 2/64

© 2007 Pearson Education

How Resource Planning

 fits the Operations Management

Philosophy

Operations As a CompetitiveWeapon

Operations StrategyProject Management Process Strategy

Process AnalysisProcess Performance and Quality

Constraint ManagementProcess LayoutLean Systems

Supply Chain StrategyLocation

Inventory Managementorecasting

Sales and Operations PlanningResource Planning

Scheduling

Page 3: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 3/64

© 2007 Pearson Education

Resource Planning

at Starwood 

Starwood manages employees, equipment, and supplies at750 hotels around the world to ensure that the needs andexpectations of each and eery customer are met!

"o help forecast these needs, Starwood now uses anenterprise resource planning #E$P% system!

&ncluded in the E$P system 'y (racle is an electronicreseration system that profiles the preferences of guests,allowing the staff to proide a )customi*ed+ experience foreach guest!

"he E$P system schedules the hotels staff mem'ers,

pro-ects the amount of food, 'eerages, and otherresources needed for the hotels food.serice department!

Starwoods E$P system also features a centrali*eddata'ase with accounting data, payroll, accounts paya'leinformation, general ledger and 'alance sheet, as well asincome statements for its arious properties!

Page 4: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 4/64

© 2007 Pearson Education

Resource Planning and

ERP 

Resource planning/ process that ta1es sales and

operations plans processes information in the way

of time standards, routings, and other information

on how the firm produces its serices or productsand then plans the input requirements!

Enterprise process/ companywide process that

cuts across functional areas, 'usiness units,

geographical regions, and product lines! Enterprise resource planning (ERP) systems/

3arge, integrated information systems that support

many enterprise processes and data storage needs!

Page 5: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 5/64

© 2007 Pearson Education

© 2007 Pearson Education

ERP Application Modules

Page 6: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 6/64

© 2007 Pearson Education

ERP esign

E$P reoles around a single comprehensie

data'ase that can 'e made aaila'le across the

entire organi*ation #or enterprise%!

"he data'ase collects data and feeds them into thearious modular applications #or suites%! s new information is entered as a transaction in one

application, related information is automatically updated in

the other applications!

"he E$P system streamlines the data flows throughout theorgani*ation and proides employees with direct access to

a wealth of real.time operating information!

E$P eliminates many of the cross.functional coordination

pro'lems older nonintegrated systems suffered from!

Page 7: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 7/64

© 2007 Pearson Education

ependent emand 

Dependent demand/ "he demand for an item that

occurs 'ecause the quantity required aries with the

production plans for other items held in the firms

inentory!

Parent/ ny product that is manufactured from one

or more components!

Component/ n item that goes through one ormore operations to 'e transformed into or 'ecome

part of one or more parents!

Page 8: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 8/64

© 2007 Pearson Education

!umpy ependent emand Resulting 

from Continuous "ndependent emand 

Parent Inventory

(Independent)

Component Demand

(Dependent)

Page 9: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 9/64

© 2007 Pearson Education

Possi#le Planning 

and Control Systems

• Products with many leels

of components, and more

customi*ation

4 3umpy demand, often with

larger 'atch si*es4 a1e.to.order, assem'le.

to.order, and ma1e.to.stoc1

strategies

4 3ower and intermediate

olumes, with flexi'le flows

• 6apacity is leeraged to

control 'ottlenec1s and

entire system flow

4 Simpler product structures

and more standardi*edproducts

4 ssem'le.to.order or ma1e.

to.stoc1 strategy

4 $elatiely higher olumes,

with flexi'le flows

transitioning to line flows

• sing system as catalyst for

continuous improement

4 Small lot si*es, consistent

quality, relia'le suppliers,

and flexi'le wor1force4 ssem'le.to.order or ma1e.

to.stoc1 strategy

4 8igh olumes and well.

'alanced line flows

"he most prominent systems now in use are the

material requirements planning #$P% system, the

9rum.:uffer.$ope #9:$% system, and lean systems!

Page 10: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 10/64

© 2007 Pearson Education

Material

Re$uirements Planning 

Material requirements planning (MRP): 

computeri*ed information system deeloped specifically to

help manufacturers manage dependent demand inentory and

schedule replenishment orders!

MRP explosion/ process that conerts the requirements

of arious final products into a material requirements plan that

specifies the replenishment schedules of all the

su'assem'lies, components, and raw materials needed to

produce final products!

Bill o materials (B!M):  record of all the components

of an item, the parent;component relationships, and the

usage quantities deried from engineering and process

designs!

Page 11: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 11/64

© 2007 Pearson Education

MRP "nputs

Inventory

transactions

Inventory

records

!t"er 

sources

o demand

#ut"ori$ed

master production

sc"edule

Bills o 

materials

Engineering

and process

designs

Material

requirements

plan

MRPMRP

explosionexplosion

Page 12: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 12/64

© 2007 Pearson Education

%ill of Materials &erms

%sage quantity/ "he num'er of units of a

component that are needed to ma1e one unit of its

immediate parent!

Inventory items: End item/ "he final product sold to a customer!

Intermediate item/ n item that has at least one parent

and at least one component!

&u'assem'ly/ n intermediate item that is assem'led #as

opposed to 'eing transformed 'y other means% from more

than one component!

Purc"ased item/ n item that has one or more parents

'ut no components 'ecause it comes from a supplier!

Part commonality/ "he degree to which a

component has more than one immediate parent!

Page 13: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 13/64

© 2007 Pearson Education

%ill of Materials

&eat cus"ion

&eatrame

'oards

ront

legs #

*adder'ac+

c"air 

Bac+

legs

*eg supports

Bac+ slats

Page 14: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 14/64

© 2007 Pearson Education

, (-)

&eatrame 'oards

I (.)

&eat cus"ion

/ (.)

&eat rame

0 (-)

Bac+ slats

(1)

Bac+ legs

C (.)&eat

su'assem'ly

D (1)ront

legs

B (.)*adder'ac+

su'assem'ly

E (-)*eg

supports

# *adder'ac+

c"air 

%ill of Materials

Page 15: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 15/64

© 2007 Pearson Education

Master

Production Schedule

Master production sc"edule (MP&):  part of the material

requirements plan that details how many end items will 'e

produced within specified periods of time!

*adder'ac+ c"air

2itc"en c"air

Des+ c"air 

. 1

#pril May

3 - 4 5 6 7

#ggregateproduction planor c"air amily

188

568568

188

.48

.18

188

.48

188

.18

568568

MP& or a amily o c"airs

Page 16: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 16/64

© 2007 Pearson Education

Master Production

Scheduling Process

(perations must first create a prospectie PS to test

whether it meets the schedule with the resources!

Page 17: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 17/64

© 2007 Pearson Education

e'eloping a Master

Production Schedule

<orecast is less than

'oo1ed orders in wee1 =

pro-ected on.hand inentory

'alance > 55 ? 0 ; @A > =7!

<orecast exceeds 'oo1ed

orders in wee1 2 pro-ected on.hand inentory 'alance

> =7 ? 0 ; @0 > ;=@! "he

shortage signals a need to

schedule an PS quantity for

completion in wee1 2!

MPS for

(ee)s 1 * + 

Page 18: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 18/64

© 2007 Pearson Education

 A'aila#le,&o,Promise

"n'entory 

#vaila'letopromise (#9P) inventory/ "he

quantity of end items that mar1eting can promise to

delier on specified dates!

&t is the difference 'etween the customer orders already'oo1ed and the quantity that operations is planning to

produce!

 s new customer orders are accepted, the "P

inentory is reduced to reflect the commitment of

the firm to ship those quantities ctual inentory stays unchanged until the order is

remoed from inentory and shipped to the customer!

Page 19: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 19/64

© 2007 Pearson Education

MPS (or)sheet 

Page 20: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 20/64

© 2007 Pearson Education© 2007 Pearson Education

Item: *adder'ac+ c"air  !rder Policy: .48 units

*ead 9ime: . ee+

. 1 3 - 4 5 6 7

#pril

 orecast

Customer 

orders 'oo+ed

Pro;ectedon"and

inventory

MP& quantity

MP& start

<uantity

on /and:

38

37

38

16

38

1-

38

7 8

34

8

34

8 8

3434

44

May

.6 .36 .86 66 -1 6 .11 76

8 .48 8 8 8 8 .48 8

.48 8 8 8 8 .48 8 8

#vaila'leto

promise (#9P)

inventory

.6 =. .48

MPSSchedule

with

 A&P 

"he total of customer orders 'oo1ed until the next PS receipt is @A

units! "he "P > 55 #on.hand% ? 0 #PS quantity% ; @A > =7!

"he total of customer orders 'oo1ed until the next PS receipt is 27

? 2B ? A > 5C units! "he "P > =50 #PS quantity% ; 5C > C= units!

Page 21: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 21/64

© 2007 Pearson Education

MPS for Product A Application 15-1

Page 22: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 22/64

© 2007 Pearson Education

MPS for Product A

 Application 15-1 

Page 23: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 23/64

© 2007 Pearson Education

"n'entory Record 

Inventory record/ record that shows an items lot.si*e policy,lead time, and arious time.phased data!

0ross requirements/ "he total demand deried from all parentproduction plans!

&c"eduled Receipts #open orders% are orders that hae 'eenplaced 'ut not yet completed!

Pro;ected on"and inventory/ n estimate of the amount ofinentory aaila'le each wee1 after gross requirements hae

'een satisfied! Planned receipts/ (rders that are not yet released to the shop

or supplier!

Planned order release/ n indication of when an order for aspecified quantity of an item is to 'e issued!

Page 24: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 24/64

© 2007 Pearson Education

"n'entory Record 

.,Period (or)sheet 

"n entor Record

Page 25: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 25/64

© 2007 Pearson Education© 2007 Pearson Education

"n'entory Record Shows an items lot.si*e policy, lead time, and arious time.phased data!

Item: C

Description: *adder'ac+ C"air &eat su'assem'ly

*ot &i$e: 138 units

*ead 9ime: 1 ee+s

0ross

requirements.48

.

138

..6

8

1

8

8

3

8

.18

-

8

4

8

.48

5

8

.18

6

8

7

8&c"eduled

receipts

Pro;ectedon"andinventory

Planned

receipts

Planned order

releases

36

>ee+

88

..6 ..6 116

138

138

116 66

138

.76

138

.76

0ross requirements/ "he total demand deried from all parent

production plans!&c"eduled Receipts #open orders% are orders that hae 'eenplaced 'ut not yet completed!

Pro;ected on"and inventory/ n estimate of the amount ofinentory aaila'le each wee1 after gross requirements hae

'een satisfied!

Planned receipts/ (rders that are not yet released to the shop

or the supplier!

 

Planned order release/ n indication of when an order for aspecified quantity of an item is to 'e issued!

Page 26: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 26/64

© 2007 Pearson Education© 2007 Pearson Education

Item: C

Description: *adder'ac+ C"air &eat su'assem'ly

*ot &i$e: 138 units

*ead 9ime: 1 ee+s

0ross

requirements.48

.

138

..6

8

1

8

8

3

8

.18

-

8

4

8

.48

5

8

.18

6

8

7

8&c"eduled

receipts

Pro;ectedon"andinventory

Planned

receipts

Planned orderreleases

36

>ee+

88

..6 ..6 116

138

138

116 66

138

.76

138

.76

Dithout a planned receipt in wee1 B, a shortage of @ units will occur/ ==7 ? 0 ? 0

 ; =20 > ;@ units! dding the planned receipt 'rings the 'alance to ==7 ? 0 ? 138 

 ; =20 > 227 units! (ffsetting for a 2.wee1 lead time puts the corresponding

planned order release 'ac1 to wee1 2!

"he first planned receipt lasts until wee1 7, when pro-ected inentory would drop

to 77 ? 0 ? 0 ; =20 > ;B@ units! dding the second planned receipt 'rings the

'alance to 77 ? 0 ? 138 ; =20 > =A7 units! "he corresponding planned order

release is for wee1 5 #or wee1 7 minus 2 wee1s%!

Page 27: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 27/64

© 2007 Pearson Education

Planning /actors

Planning lead time: n estimate of the time

'etween placing an order for an item and

receiing the item in inentory!

Setup timeProcessing time

aterials handling time 'etween

operationsDaiting time

*otsi$ing rules:  rule that determines the

timing and si*e of order quantities!

Page 28: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 28/64

© 2007 Pearson Education

!ot Si0ing Rules/ied Order 2uantity 3/O24

ixed order quantity (!<):  rule that

maintains the same order quantity each time

an order is issued!

9ictated 'yEquipment capacity limits

uantity discount

"ruc1load capacityinimum purchase quantity

E(

Page 29: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 29/64

© 2007 Pearson Education

H1,A 6sing /O2  Application 15-+ 

Page 30: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 30/64

© 2007 Pearson Education

H1,A 6sing /O2 

  Application 15-+  

Page 31: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 31/64

© 2007 Pearson Education

!ot Si0ing RulesPeriodic Order 2uantity 3PO24

Periodic order quantity (P!<):  rule thatallows a different order quantity for eachorder issued 'ut tends to issue the order at

predetermined time interals!"he order quantity equals the amount of the item

needed to coers P  wee1s worth of grossrequirements!

P!< lot si$e

to arrive in

ee+ t 

9otal 0ross requirements

or P  ee+s? including

ee+ t 

Pro;ected on"and

inventory 'alance

at end o ee+ t .

@ A

Page 32: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 32/64

© 2007 Pearson Education

&he PO2 3P 7 84 Rule for the!adder,#ac) Chair Seat Su#assem#ly 

Item: C

Description: *adder'ac+ C"air &eat su'assem'ly

*ot &i$e: P @ 3

*ead 9ime: 1 ee+s

0ross

requirements .48.48

.

138138

..6..6

1 3

.18.18

- 4

.48.48

5

.18.18

6 7

&c"eduled

receipts

Pro;ected

on"andinventory

Planned

receipts

Planned order

releases

36

>ee+

..6..6 ..6..6

.43.43

.48.48

.43.43

.48.48 88 88 88

.18.18

.18.18

#=20 ? 0 ? =50% . ==7 > =5@

Page 33: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 33/64

© 2007 Pearson Education

H1,A 6sing PO2  Application 15-8

Page 34: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 34/64

© 2007 Pearson Education

H1,A 6sing PO2 

  Application 15-8 

Page 35: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 35/64

© 2007 Pearson Education

!ot,for,!ot 

*otorlot (*-*) rule/ rule under which the lot si*eordered coers the gross requirements of a singlewee1!

"husP 

 > =, and the goal is to minimi*e inentoryleels!

"he pro-ected on.hand inentory com'ined withthe new order will equal *ero at the end of wee1 t !

*-* lot si$eto arrive in

ee+ t 

0ross requirements

or ee+ t  

Pro;ected on"andinventory 'alance at

end o ee+ t .

@ A

Page 36: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 36/64

© 2007 Pearson Education

&he !ot,for,!ot 3!9!4 Rule for the!adder,#ac) Chair Seat Su#assem#ly 

Item: C

Description: *adder'ac+ C"air &eat su'assem'ly

*ot &i$e:

*ead 9ime: 1 ee+s

0ross

requirements .48.48

.

138138

..6..6

1 3

.18.18

- 4

.48.48

5

.18.18

6 7

&c"eduled

receipts

Pro;ected

on"andinventory

Planned

receipts

Planned order

releases

36

>ee+

..6..6 ..6..6

 33

 88

33

 88 88 88 88

.18.18

.18.18

  #=20 ? 0 ? 0% . ==7 > @

*-* Rule

.48.48

.48.48

Page 37: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 37/64

© 2007 Pearson Education

H1,A 6sing !9! Application 15-9

Page 38: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 38/64

© 2007 Pearson Education

H1,A 6sing !9!

  Application 15-9 

C i

Page 39: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 39/64

© 2007 Pearson Education

Comparing

!ot,Si0ing Rules

!<, P!<, and *-* rules affect inentory costs and setup andordering costs! &n the example, each rule too1 effect in wee1 B,when the first order was placed!   comparison of pro-ected on.hand inentory aeraged oer wee1s

B through A of the planning hori*on for the ladder.'ac1 chair seatsu'assem'ly/

!</ #227?227?77?=A7?=A7%F5 > .7. units

P!</ #=50?=50?0?0?0%F5 > 58 units

*-*/ #0?0?0?0?0%F5 > 8 units

!< generates high inentory 'ecause it creates remnants!

P!< reduces on.hand inentory 'ecause it does a 'etter -o' ofmatching order quantity to requirements!

*-* minimi*es inentory inestment 'ut maximi*es the num'erof orders placed!

Page 40: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 40/64

© 2007 Pearson Education

Safety Stoc) 

"he usual policy is to use safety stoc1 for end items and

purchased items to protect against fluctuating customer orders

and unrelia'le suppliers of components 'ut to aoid using it as

much as possi'le for intermediate items!

Schedule a planned receipt wheneer the pro-ected on.hand

inentory 'alance drops 'elow the desired safety stoc1 leel!

*adder'ac+ C"air

&eat su'assem'ly

Page 41: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 41/64

© 2007 Pearson Education© 2007 Pearson Education

Material requirements plan

#ction notices• Releasing ne orders

• #d;usting due dates

Priority reports• Dispatc" lists

• &upplier sc"edules

Capacity reports• Capacity requirements planning

• inite capacity sc"eduling

• Inputoutput control

Manuacturing resources plan

Perormance reportsCost and

price data

Routings

and time

standards

MRP

explosion

MRP translates? or explodes? t"e MP& and other sources of demand

into the requirements needed for all of the su'assem'lies, components,

and raw materials the firm needs to produce parent items! "his process

generates the material requirements plan for each component item!

Page 42: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 42/64

© 2007 Pearson Education© 2007 Pearson Education

==7

On hand Inventory + Scheduled receipts – Gross Requirements

==7 ==7

@00

LO! SI"# $ %&' (nits

SEAT SUBASSEMBLY  L#A) !IM# $ % Wee*s

Wee*s + % & , - . / 0

1ross 2e3irements 150 120 150 120

Scheduled 2eceipts 230

Projected on4hand5 &/Planned 2eceipts

Planned order 2eleases

LO! SI"# $ &''

Seat Frames L#A) !IM# $ + Wee*

Wee*s + % & , - . / 0

1ross 2e3irements

Scheduled 2eceipts

Projected on4hand Inv6 $ ,'

Planned 2eceipts

Planned order 2eleases

LO! SI"# $ L,LSeat us!ions L#A) !IM# $ + 7ee*

Wee*s + % & , - . / 0

1ross 2e3irements

Scheduled 2eceipts

Projected on4hand Inv6 $ '

Planned 2eceipts

Planned order 2eleases

Material Requirements Plan

Gross Requirements

Gross Requirements

Gross Requirements

LO! SI"# %&' ( it

Page 43: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 43/64

© 2007 Pearson Education© 2007 Pearson Education

==7 ==7 ==7

2@02@0227 227

@00

Requirements

LO! SI"# $ %&' (nits

SEAT SUBASSEMBLY  L#A) !IM# $ % Wee*s

Wee*s + % & , - . / 0

1ross 2e3irements 150 120 150 120

Scheduled 2eceipts 230

Projected on4hand5 &/Planned 2eceipts

Planned order 2eleases

LO! SI"# $ &''

Seat Frames L#A) !IM# $ + Wee*

Wee*s + % & , - . / 0

1ross 2e3irementsScheduled 2eceipts

Projected on4hand Inv6 $ ,'

Planned 2eceipts

Planned order 2eleases

LO! SI"# $ L,L

Seat us!ions L#A) !IM# $ + 7ee*

Wee*s + % & , - . / 0

1ross 2e3irements

Scheduled 2eceipts

Projected on4hand Inv6 $ '

Planned 2eceipts

Planned order 2eleases

Material Requirements Plan

Gross Requirements

Gross Requirements

Gross Requirements

117 units is insufficient to meet gross requirements of 12 for

!ee" #$ so a planned order release of 2% must &e scheduled'

LO! SI"# %&' (nits

Page 44: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 44/64

© 2007 Pearson Education© 2007 Pearson Education

==7 ==7 ==7 227 227

2@0

2@0=A7 =A7

@00

LO! SI"# $ %&' (nits

SEAT SUBASSEMBLY  L#A) !IM# $ % Wee*s

Wee*s + % & , - . / 0

1ross 2e3irements 150 120 150 120

Scheduled 2eceipts 230

Projected on4hand5 &/Planned 2eceipts

Planned order 2eleases

LO! SI"# $ &''

Seat Frames L#A) !IM# $ + Wee*

Wee*s + % & , - . / 0

1ross 2e3irementsScheduled 2eceipts

Projected on4hand Inv6 $ ,'

Planned 2eceipts

Planned order 2eleases

LO! SI"# $ L,L

Seat us!ions L#A) !IM# $ + 7ee*

Wee*s + % & , - . / 0

1ross 2e3irements

Scheduled 2eceipts

Projected on4hand Inv6 $ '

Planned 2eceipts

Planned order 2eleases

Material Requirements Plan

2@02@0

77

Gross Requirements

Gross Requirements

Gross Requirements

77 units is insufficient to meet gross requirements of 1( for

!ee" )$ so a planned order release of 2% must &e scheduled'

LO! SI"# %&' (nitsM t i l R i t Pl

Page 45: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 45/64

© 2007 Pearson Education© 2007 Pearson Education

2@0 2@0

2@0 2@0

LO! SI"# $ %&' (nits

SEAT SUBASSEMBLY  L#A) !IM# $ % Wee*s

Wee*s + % & , - . / 0

1ross 2e3irements 150 120 150 120

Scheduled 2eceipts 230

Projected on4hand5 &/Planned 2eceipts

Planned order 2eleases

LO! SI"# $ &''

Seat Frames L#A) !IM# $ + Wee*

Wee*s + % & , - . / 0

1ross 2e3irementsScheduled 2eceipts

Projected on4hand Inv6 $ ,'

Planned 2eceipts

Planned order 2eleases

LO! SI"# $ L,L

Seat us!ions L#A) !IM# $ + 7ee*

Wee*s + % & , - . / 0

1ross 2e3irements

Scheduled 2eceipts

Projected on4hand Inv6 $ '

Planned 2eceipts

Planned order 2eleases

Material Requirements Plan

==7 ==7 ==7

2@0

2@0227 227 77

2@02@0=A7 =A7

@00

Gross Requirements

Gross Requirements

Gross Requirements

LO! SI"# $ %&' (nitsM t i l R i t Pl

Page 46: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 46/64

© 2007 Pearson Education© 2007 Pearson Education

2@0 2@0

==7 ==7 ==7

2@0

2@0227 227 77

2@02@0=A7 =A7

2@0 2@0@00

B0 on.hand is carried from preious plan to wee1 one!

B0

B0 on hand plus @00 in receipts minus demand of 2@0 > ==0

==0

==0 is carried in inentory until wee1 5 when more is needed!

==0 ==0

3ot of @00 must 'e scheduled to start production in wee1 B and

arries as planned receipt in wee1 5!

@00@00

LO! SI"# $ %&' (nits

SEAT SUBASSEMBLY  L#A) !IM# $ % Wee*s

Wee*s + % & , - . / 0

1ross 2e3irements 150 120 150 120

Scheduled 2eceipts 230

Projected on4hand5 &/Planned 2eceipts

Planned order 2eleases

LO! SI"# $ &''

Seat Frames L#A) !IM# $ + Wee*

Wee*s + % & , - . / 0

1ross 2e3irementsScheduled 2eceipts

Projected on4hand Inv6 $ ,'

Planned 2eceipts

Planned order 2eleases

LO! SI"# $ L,L

Seat us!ions L#A) !IM# $ + 7ee*

Wee*s + % & , - . / 0

1ross 2e3irements

Scheduled 2eceipts

Projected on4hand Inv6 $ '

Planned 2eceipts

Planned order 2eleases

Material Requirements Plan

Gross Requirements

Gross Requirements

Gross Requirements

LO! SI"# %&' (nitsM t i l R i t Pl

Page 47: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 47/64

© 2007 Pearson Education© 2007 Pearson Education

@00@00

=A0 =A0 =A0 =A0

LO! SI"# $ %&' (nits

SEAT SUBASSEMBLY  L#A) !IM# $ % Wee*s

Wee*s + % & , - . / 0

1ross 2e3irements 150 120 150 120

Scheduled 2eceipts 230

Projected on4hand5 &/Planned 2eceipts

Planned order 2eleases

LO! SI"# $ &''

Seat Frames L#A) !IM# $ + Wee*

Wee*s + % & , - . / 0

1ross 2e3irementsScheduled 2eceipts

Projected on4hand Inv6 $ ,'

Planned 2eceipts

Planned order 2eleases

LO! SI"# $ L,L

Seat us!ions L#A) !IM# $ + 7ee*

Wee*s + % & , - . / 0

1ross 2e3irements

Scheduled 2eceipts

Projected on4hand Inv6 $ '

Planned 2eceipts

Planned order 2eleases

Material Requirements Plan

2@0

2@02@0

2@0==7 ==7 ==7 227 227 77 =A7 =A7

2@0 2@0@00

B0 ==0 ==0 ==0

2@0 2@0

Gross Requirements

Gross Requirements

Gross Requirements

(n.8and for wee1 5 is @00 ? ==0 . 2@0 > =A0"he =A0 in inentory is carried until the next gross

requirements!

LO! SI"# %&' (nitsM t i l R i t Pl

Page 48: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 48/64

© 2007 Pearson Education© 2007 Pearson Education

2@0

2@0

2@0

2@00 0 0 0 0 0 0 0

2@0

2@02@0

2@0

2@0 2@0@00

B0 ==0 ==0 ==0

@00@00=A0 =A0 =A0 =A0

==7 ==7 ==7 227 227 77 =A7 =A7

LO! SI"# $ %&' (nits

SEAT SUBASSEMBLY  L#A) !IM# $ % Wee*s

Wee*s + % & , - . / 0

1ross 2e3irements 150 120 150 120

Scheduled 2eceipts 230

Projected on4hand5 &/Planned 2eceipts

Planned order 2eleases

LO! SI"# $ &''

Seat Frames L#A) !IM# $ + Wee*

Wee*s + % & , - . / 0

1ross 2e3irementsScheduled 2eceipts

Projected on4hand Inv6 $ ,'

Planned 2eceipts

Planned order 2eleases

LO! SI"# $ L,L

Seat us!ions L#A) !IM# $ + 7ee*

Wee*s + % & , - . / 0

1ross 2e3irements

Scheduled 2eceipts

Projected on4hand Inv6 $ '

Planned 2eceipts

Planned order 2eleases

Material Requirements Plan

2@0 2@0

Gross Requirements

Gross Requirements

Gross Requirements

Planned order releases are si*ed to gross requirements!Pro-ected on.hand inentory remains at *ero!"wo planned order releases of 2@0 units are scheduled!

LO! SI"# $ %&' (nitsM t i l R i t Pl

Page 49: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 49/64

© 2007 Pearson Education© 2007 Pearson Education

LO! SI"# $ %&' (nits

SEAT SUBASSEMBLY  L#A) !IM# $ % Wee*s

Wee*s + % & , - . / 0

1ross 2e3irements 150 120 150 120 0

Scheduled 2eceipts 230

Projected on4hand5 &/ 11" 11" 11" 22" 22" "" 1#" 1#"Planned 2eceipts 230 230

Planned order 2eleases 230 230

LO! SI"# $ &''

Seat Frames L#A) !IM# $ + Wee*

Wee*s + % & , - . / 0

1ross 2e3irements 230 230Scheduled 2eceipts 300

Projected on4hand Inv6 $ ,' $0 110 110 110 1#0 1#0 1#0 1#0

Planned 2eceipts 300

Planned order 2eleases 300

LO! SI"# $ L,L

Seat us!ions L#A) !IM# $ + 7ee*

Wee*s + % & , - . / 0

1ross 2e3irements 230 230

Scheduled 2eceipts

Projected on4hand Inv6 $ ' 0 0 0 0 0 0 0 0

Planned 2eceipts 230 230

Planned order 2eleases 230 230

Material Requirements Plan

Gross Requirements

Gross Requirements

Gross Requirements

Gross requirements for seat.frame 'oards will 'e =200 units #or B x @00% in

wee1 @!

Page 50: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 50/64

© 2007 Pearson Education

Other

"mportant Reports

#ction notice/ computer.generated memo

alerting planners a'out releasing new orders and

ad-usting the due dates of scheduled receipts!

Capacity requirements planning (CRP)/ technique used for pro-ecting time.phased capacity

requirements for wor1stations its purpose is to

match the material requirements plan with the

capacity of 1ey processes! Manuacturing resource planning (MRP II)/

system that ties the 'asic $P system to the

companys financial system and to other core and

supporting processes!

Page 51: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 51/64

© 2007 Pearson Education

"tem A:s MPS and %OM  Application 15-5 

Page 52: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 52/64

© 2007 Pearson Education

"n'entory ata Application 15-5 

"t

Page 53: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 53/64

© 2007 Pearson Education

"tem  Application 15-5 

"t %

Page 54: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 54/64

© 2007 Pearson Education

"tem % Application 15-5 

"t C

Page 55: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 55/64

© 2007 Pearson Education

"tem C  Application 15-5 

Page 56: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 56/64

© 2007 Pearson Education

rum,%uffer,Rope System

DrumBuerRope (DBR)/ planning and control

system that regulates the flow of wor1.in.process

materials at the 'ottlenec1 or the capacity

constrained resource #66$% in a productie system!

ar1et 9emand

H50 unitsFwee1

9rum.:uffer.$ope System with a 6apacity 6onstrained $esource #66$%

% ff R S t

Page 57: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 57/64

© 2007 Pearson Education

rum,%uffer,Rope System

in Practice

"he %& Marine Corps Maintenance Center  in

 l'any, Georgia, oerhauls and repairs ehicles

used 'y the 6orps!

$epairs to equipment can ary tremendously at the!S! arine 6orps aintenance 6enter in l'any,

Georgia!

"he center struggled to 1eep up with its repairs until

managers implemented the simplified form of adrum.'uffer.rope system!

"he resultI $epair times fell from =H7 days to -ust

5A days, on aerage!

R Pl i f

Page 58: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 58/64

© 2007 Pearson Education

Resource Planning for

Ser'ice Pro'iders

Dependent demand for serices

$estaurant

 irlines8ospitals

8otels

Bill o Resources/ record of a firms

parent.component relationships and all of

the materials, equipment time, staff, and

other resources!

Level 1

Page 59: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 59/64

© 2007 Pearson Education© 2007 Pearson Education

Disc"arge

Level 2

Intermediate care

Level 3

Postoperative care

(&tep don)

Level 4

Postoperative care

(Intensive)

Level 7

Preoperative care

(9esting)

Level 5

&urgery

Level 6

Preoperative care

(#ngiogram)

urse

(5 "r)

MD

(. "r)

9"erapy

(. "r)

Bed

(1- "r)

*a'

(3 tests)

2itc"en

(. meal)

P"armacy

(.8

medicines)

Level 6

Preoperative care

(#ngiogram)

Bill o Resources (B!R)  record of a serice firms parent;

component relationships and all of thematerials, equipment time, staff, andother resources associated with them,including usage quantities!

BOR for Treating an Aneurysm

Page 60: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 60/64

© 2007 Pearson Education

Sol'ed Pro#lem 1

*9 @ 1*9 @ 1 *9 @ 3*9 @ 3

*9 @ 3*9 @ 3

#

B (3) C (.)

*9 @ .*9 @ .

0 (.)

*9 @ 3*9 @ 3 *9 @ 5*9 @ 5

*9 @ 3*9 @ 3

*9 @ .*9 @ .

D (.)D (.) E (1) (.)

&f there is no existing

inentory, how many

units of items G, E, and

9 must 'e purchased to

produce fie units of end

item I

  5 units of item G

@0 units of item E

20 units of item 93" > 3ead time

Page 61: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 61/64

© 2007 Pearson Education

Sol'ed Pro#lem 8

#

B (.) C (1)

D (.)

*9 @ 1*9 @ 1

*9 @ .*9 @ . *9 @ 1*9 @ 1

*9 @ 3*9 @ 3

I9EM

D#9# C#9E0!R B C D

*otsi$ing rule P!< (P@3) *-* !< @ 488 units

*ead time . ee+ 1 ee+s 3 ee+s

&c"eduled receipts one 188 (ee+ .) one

Beginning (on"and) 18 8 -14

  inventory

"he PS for product calls for the assem'ly

department to 'egin final assem'ly according

to the following schedule/ =00 units in wee1 2

200 units in wee1 B =20 units in wee1 H =A0

units in wee1 7 and H0 units in wee1 A!9eelop a material requirements plan for the

next eight wee1s for items :, 6, and 9!

Page 62: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 62/64

© 2007 Pearson Education© 2007 Pearson Education

Item: B  *ot si$e: P!< (P @ 3)Description: *ead time: . ee+

0ross

requirements .88.88

.

1818

1 3 - 4 5 6 7

&c"eduled

receipts

Pro;ectedon"and

inventoryPlanned

receipts

Plannedorderreleases

18

>ee+

188188 188188

188

8 8 1-8 58 8

178

= .8

.18 .78 58

8 8

358

178 358

Sol'ed Pro#lem 8

Page 63: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 63/64

© 2007 Pearson Education© 2007 Pearson Education

Item: C  *ot si$e: *-*Description: *ead time: 1 ee+s

0ross

requirements 188188

.

188188

1 3 - 4 5 6 7

&c"eduled

receipts

Pro;ectedon"and

inventoryPlanned

receipts

Plannedorderreleases

8

>ee+

88 88

-88

188

8 8 8 8 8

-88

= .8

1-8 358 .18

8 8

1-8 358 .18

-88 1-8 358 .18

Sol'ed Pro#lem 8

Page 64: Krajewski Chapter 15

8/18/2019 Krajewski Chapter 15

http://slidepdf.com/reader/full/krajewski-chapter-15 64/64

Item: D  *ot si$e: !< @ 488 unitsDescription: *ead time: 3 ee+s

0ross

requirements -88-88

.

-14-14

1 3 - 4 5 6 7

&c"eduled

receipts

Pro;ectedon"and

inventoryPlanned

receipts

Plannedorderreleases

-14

>ee+

1414 1414

1-8

174 -14 384

488

= .8

358 .18

488

358384 384 384

488 488

Sol'ed Pro#lem 8