Management and Organizational Studies 3330A/B Lecture Notes - Lecture 10: Software, Stockout, Master Production Schedule

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 3330A/B
• Professor: Clarence Borja

Document Summary

Materials requirements planning (mrp) is a means for determining the number of parts, components, and materials needed to produce a product. Mrp provides time scheduling information specifying when each of the materials, parts, and components should be ordered or produced. Mrp system has essentially three sources of information: master production schedule states the number of items to be produced during specific time periods. Specifies exactly what needs to be produced, and how many: bill of materials (bom) identifies the specific materials used to make each item and the correct quantities of each. Bom can be displayed in a product tree structure, indented format, or even single level. Idea is to fu(cid:374)da(cid:373)e(cid:374)tall(cid:455) take a (cid:862)work (cid:271)a(cid:272)kwards(cid:863) approa(cid:272)h to e(cid:374)suri(cid:374)g that you never stock-out or are unable to meet your product requirements, by determining not only what you need and when, but also tracking: What items are precursors to the final items.