Lecture 8 - Master Product Scheduling (Revisited). The contents of this chapter include all of the following: Master product scheduling, round cut capacity planning, planning horizons, types of production-planning and control systems, developing MPS, evaluation MPS, planning links to MPS.
Trang 1Master Product Scheduling (Revisited)
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.: McGrawHill/Irwin.
Trang 2• Developing MPS
• Evaluation MPS
• Planning links to MPS
Trang 4• The master production schedule is a vital link between sales and production
– It makes possible valid order promises
– It represents a contract between sales and
production
Trang 7• Perform roughcut capacity planning
• Resolve differences
Trang 8• Roughcut capacity planning checks whether critical resources are available to support the preliminary
master schedule
• A resource bill shows the time required for individual items on a critical resource
• What are some possible critical resources?
Trang 9• The third step in developing an MPS is to resolve any
differences between the priority plan and available capacity. Available capacity must be equal to or greater than required capacity
Trang 10• The master production schedule must be judged by three criteria
– Resources use. Is the MPS within capacity restraints in
each period of the plan? Does it make the best use of resources?
– Customer service. Will due dates be met and will
delivery performances be acceptable?
– Cost. Is the plan economical, or will excess cost be
incurred for overtime, subcontracting, expediting, or transportation?
Trang 11• An MPS is not a sales forecast, it is instead a forecast of production. It may not necessarily
Trang 12Promise Time
Trang 13• AvailabletoPromise is
and planned production, maintained in the master schedule to support customer order promising. The ATP quantity is the uncommitted inventory balance
in the first period and is normally calculated for each period in which an MPS receipt is scheduled
APICS Dictionary, 8th edition
Trang 14will be sold before the next scheduled receipt.
When calculating ATP, consider all orders until the next scheduled receipt.
ATP for period 1 = on hand customer orders due before next MPS scheduled receipt
ATP for periods 2, 4, and 6 = MPS scheduled
receipt customer orders due before next MPS
scheduled receipt
Trang 19The planning horizon is defined as
the amount of time the master schedule extends into the
future. This is normally set to cover a minimum of cumulative lead time plus time for lot sizing low
level components and for capacity changes of primary work centers or of key suppliers
APICS Dictionary, 8th edition
Trang 20✦ What is the minimum planning
horizon in this example?
= 16 weeks
Trang 21Actual and Forecast
(Trade-offs)
Forecast Only (Changes constrained
PlanningTimeFence
Trang 22Master Production Scheduling (MPS)
Trang 23• Determine the quantity and timing of completion of end items over a shortrange planning horizon
• Schedule end items (finished goods and parts shipped
as end items) to be completed promptly and when
promised to the customer
• Avoid overloading or underloading the production facility so that production capacity is efficiently
utilized and low production costs result.
Trang 2424 weeks
46 weeks
6+ weeks
Time Fences
Trang 25• The rules for scheduling:
– Do not change orders in the frozen zone
– Do not exceed the agreed on percentage changes when modifying orders in the other zones
– Try to level load as much as possible
– Do not exceed the capacity of the system when
promising orders
– If an order must be pulled into level load, pull it into the earliest possible week without missing the promise
Trang 26• . . more
Trang 27– estimate the total demand for products from all sources
– assign orders to production slots
– make delivery promises to customers, and
– make the detailed calculations for the MPS
Trang 28Arizona Instruments produces bar code scanners for consumers and other manufacturers on a producetostock basis. The production planner is developing an
MPS for scanners for the next 6 weeks
The minimum lot size is 1,500 scanners, and the safety stock level is 400 scanners. There are currently 1,120 scanners in inventory. The estimates of demand for scanners in the next 6 weeks are shown on the next slide
Trang 290 50 300 1000
0 0
500 400
200
0 0
0
300 500
0 10
0
700
6 5
1000 200
WEEK
Trang 300 50 300 1000
0 0
500 400
200
0 0
0
300 500
0 10
0
700
6 5
1000 200
410 560
1500 410 1350
1160 1500
900 560
700
1250 950
460
460 1160
1500 1500
0
1010 1200
950
Trang 32• As orders are slotted in the MPS, the effects on the production work centers are checked
• Rough cut capacity planning identifies underloading
or overloading of capacity
Trang 33Texprint Company makes a line of computer printers on a producetostock basis for other computer manufacturers. Each printer requires an average of 24 laborhours. The plant uses a backlog of orders to allow
Trang 34UNDER or OVER LOAD 2600 200 200 1000 1720 280
Trang 35– The plant is underloaded in the first 3 weeks
(primarily week 1) and it is overloaded in the last 2 weeks of the schedule
– Some of the production scheduled for week 4 and 5 should be moved to week 1
Trang 36• Planning horizon must be as long as the longest lead time item
Trang 37and Control Systems
Trang 39• May lead to excessive inventories and is rather
inflexible in its ability to respond to customer needs
Trang 41• Look only at the next stage of production and
determine what is needed there, and produce only that
• Raw materials and parts are pulled from the back of the system toward the front where they become
finished goods
• Rawmaterial and inprocess inventories approach zero
• Successful implementation requires much preparation
Trang 42– Impede production because they have less capacity than upstream or downstream stages
Trang 43• . . more
Trang 44• System of control based on:
– drum (bottleneck establishes beat or pace for other operations)
– buffer (inventory kept before a bottleneck so it is never idle), and
– rope (information sent upstream of the bottleneck
to prevent inventory buildup and to synchronize activities)
Trang 45• Push systems dominate and can be applied to almost any type of production
• Pull systems are growing in use. Most often applied
in repetitive manufacturing
• Few companies focusing on bottlenecks to plan and control production.
Trang 46– Disaggregates the aggregate plan
Trang 47Business Planning Hierarchy
Trang 48Planning Links to MPS
Trang 50MPS
BI
available
Projected
Trang 52• MPS: Replenishment Shipments that need to arrive at the
beginning of the time period
Trang 57Available to Promise
• When a customer places an order, they do not expect immediate delivery (negotiable).
• The product will delivered by some later date
available at a given time
Trang 61New Order
• Suppose we get an order for 200, can we accept this for delivery in period 5?
Trang 62Worksheet for New Order for 200
Trang 66Time Fences
Trang 68Roughcut capacity planning
• An estimate of the plans’ feasibility
• Given the demonstrated capacity of critical resources (e.g.: direct labor & machine time), have we
overloaded the system?
Trang 73– To be a contract between marketing and
manufacturing. It is an agreedupon plan
Trang 75End of Lecture 8