Orlicky's Material Requirements Planning, Third Edition

Book excerpt: The classic MRP work up-to-date with new information on supply chain synchronization Thoroughly revised, Orlicky’s Material Requirements Planning, Third Edition reviews the poor business results embedded in most of today’s business systems; discusses the core problems causing the results; presents and discusses an alternative pull structure for planning and controlling materials flow; and presents initial results from actual implementations. This new edition reveals the next evolutionary step for materials and supply chain synchronization in the modern manufacturing landscape. This update describes: A solution to a chronic MRP-related problem that plagues many manufacturers: shortages of materials, components that block the smooth flow of work through the plant A competitive edge through strategic lead time reductions Significant reductions in total inventory investment Significant increases in service levels This new edition helps companies tackle three pervasive problems: unacceptable inventory performance; unacceptable service level performance; and high related expenses and waste. New to This Edition: New section on manufacturing as the heart of the supply chain management, and specific challenges in the 21st century Covers supply chain management (SCM) and distribution requirements planning (DRP) Discusses the impact of Lean and the Toyota Production System Update of integration software Reviews the emergence of demand-driven strategies and the MRP “conflict” Introduces the new concept of ASR (Actively Synchronized Replenishment) and explains how to incorporate it into business processes Explains positioning and how Six Sigma can help achieve results In-depth discussion of buffers – how to size, maintain, and adjust them New chapter on using MRP tools across the supply chain to enable pull-based approaches New case studies which illustrating the techniques described in the book Comprehensive coverage: The Whole and Its Parts; Manufacturing as a Process; Inventory Management; Prerequisites of MRP 3.0; Traditional Methodology; MRP Logic; Keeping MRP Up to Date; Lot Sizing and Safety Stock; Data Requirements and Management; MRP 3.0; Traditional MRP in Today’s Environment; MRP 3.0 Component 1—Strategic Inventory Positioning; Component 2—Buffer Level Profiling; Component 3—Dynamic Buffer Maintenance; Component 4—Pull-Based Demand Generation; Component 5—Highly Visible and Collaborative Execution; Dynamic Buffer Level Profiling; ASR Demand Generation; Applications; Developing Valid Inputs; Making Outputs Useful; Demand Driven Philosophies and MRP; Engineer to Order Environments; Lessons of the Past; Present State; The Future of MRP 3.0