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Lecture Principle of inventory and material management - Lecture 32

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Lecture 32 - Revision. The contents of this chapter include all of the following: Material requirement planning, nature of demand, inputs to MRP, bill of material, planned orders, net requirement plan, MRP and JIT, lot sizing techniques, maintenance and reliability, reliability, product failure rate, providing redundancy, maintenance cost, total productive maintenance. | Lecture 32 Revision: Material Requirement Planning Maintenance and Reliability Books Introduction to Materials Management, Sixth Edition, J. R. Tony Arnold, P.E., CFPIM, CIRM, Fleming College, Emeritus, Stephen N. Chapman, Ph.D., CFPIM, North Carolina State University, Lloyd M. Clive, P.E., CFPIM, Fleming College Operations Management for Competitive Advantage, 11th Edition, by Chase, Jacobs, and Aquilano, 2005, N.Y.: McGraw-Hill/Irwin. Operations Management, 11/E, Jay Heizer, Texas Lutheran University, Barry Render, Graduate School of Business, Rollins College, Prentice Hall Objectives Material Requirement Planning Nature of Demand Inputs to MRP Bill of Material Planned Orders Net requirement plan MRP and JIT Lot sizing techniques Maintenance and reliability Reliability Product failure rate Providing redundancy Maintenance cost Total productive maintenance Material Requirement Planning Material Requirements Planning is a system to calculate requirements for dependent demand items | Lecture 32 Revision: Material Requirement Planning Maintenance and Reliability Books Introduction to Materials Management, Sixth Edition, J. R. Tony Arnold, P.E., CFPIM, CIRM, Fleming College, Emeritus, Stephen N. Chapman, Ph.D., CFPIM, North Carolina State University, Lloyd M. Clive, P.E., CFPIM, Fleming College Operations Management for Competitive Advantage, 11th Edition, by Chase, Jacobs, and Aquilano, 2005, N.Y.: McGraw-Hill/Irwin. Operations Management, 11/E, Jay Heizer, Texas Lutheran University, Barry Render, Graduate School of Business, Rollins College, Prentice Hall Objectives Material Requirement Planning Nature of Demand Inputs to MRP Bill of Material Planned Orders Net requirement plan MRP and JIT Lot sizing techniques Maintenance and reliability Reliability Product failure rate Providing redundancy Maintenance cost Total productive maintenance Material Requirement Planning Material Requirements Planning is a system to calculate requirements for dependent demand items It establishes a schedule (priority plan) showing the components required at each level of the assembly and, based on lead times, calculates the time when these components will be needed It is a system to avoid missing parts for the end item Material Requirements Planning 4 Material Requirements Planning Process We need to determine What to order How much to order When to order This will involve Lead times Bills of material Inventory Status Planning data 5 Nature of Demand Two Types of Demand Independent Is not related to the demand for any other product and must be forecast Master production schedule (MPS) items are independent demand items Dependent Is directly related to other items or end items Such demand should be calculated and need not and should not be forecast 6 Nature of Demand Independent Demand (Forecast) Dependent Demand (Calculated) Table Legs (4) Ends (2) Sides (2) Top (1) Hardware Kit (1) Item #206 Item #433 Item #711 Item #025 Item #822 If you have an order for 23 .

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