PHYSICS 102 Lecture Notes - Lecture 15: Planning Horizon, Material Requirements Planning, Management System
Document Summary
Planning and control: set of tactical and execution-level business activities that include master scheduling, material requirements planning, and some form of production activity control and vendor order management. Master scheduling: detailed planning process that tracks production output and matches this output to actual customer needs. Master production schedule (mps): amount of product that will be finished and available for sale at the beginning of each week; drives more detailed planning activities like material requirements planning. Key pieces of information in master schedule report: forecasted demand: estimated demand, booked orders: confirmed demand, projected ending inventory: estimated inventory level at the end of period. First week: atp = ending inventory last week + mps booked orders from week 1 until next positive mps quantity is due. Subsequent week: atp = mps booked orders from week 1 until next positive mps quantity is due.
