MRP and Dependent Demand



 
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2.00 hours
Online Self Study
INV401

ID:1000000357
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About the Course

Materials Requirements Planning (MRP) is, perhaps, the most commonly used production planning tool in most industries. MRP addresses the problem of determining and meeting requirements for all parts and components that are assembled into each final product. The goal is to coordinate materials at the various stages of the production process. MRP is a forward-looking plan for final product and component production and procurement over some future time horizon.

Course Description

This course is designed for anyone who deals with production planning or with MRP and who should be aware of potential problems and pitfalls with its use. It also serves as an introduction to MRP for those who have not been exposed to this important tool. The course includes many examples.

Learning Objectives

After completing this course, you should be able to:

  • Discuss the fundamental purposes of Materials Requirements Planning (MRP)
  • Explain the three key elements of MRP—bill of materials explosion, lead time offset, and inventory netting
  • Understand sample MRP charts and complete calculations
  • Identify safety stock and safety lead times
  • Discuss problems and weaknesses of MRP, including safety stocks, fixed lead times, and lot sizes
  • Identify where to apply MRP and where to avoid it
  • Identify the difference between Materials Requirements Planning and Manufacturing Resources Planning (MRP II)

Agenda

This course covers the following topics:

  • The fundamental purposes of MRP
  • The three key elements of MRP – bill of materials explosion, lead time offset and inventory netting
  • Sample MRP charts and calculations
  • Safety stock and safety lead times
  • Problems and weaknesses of MRP, including safety stocks, fixed lead times, and lot sizes
  • Where to apply MRP and where to avoid it
  • The difference between Materials Requirements Planning and Manufacturing Resources Planning (MRP II)
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