MRP

MRP (Materials Requirements Planning)

MRP takes the existing supply and demand of products at each location, considers stock position and applies inventory rules.

The process then produces a set of replenishment actions which are time sensitive. This is also called time phasing.

It schedules purchase orders for stock, work orders for manufacturing and transfer orders between sites.
What are the benefits of implementing the Aware Enterprise MRP
•    Stock is only ordered when required and for the time it is needed.
•    Stock levels are set to improve availability as well as keep the investment low.
•    Purchasing of required materials is never forgotten.
•    Emergency expediting is normally reduced by 50-80%.
•    You have the information to negotiate with suppliers to further lower material costs.
•    You have the tools to manage consignment stock effectively.
•    Forecasting of demand, if feasible, improves availability and reduces stock levels even further.
•    Since inventory costs about 25% of its value each year to hold in stock, any improvement is an improvement to the bottom line as long as availability is kept high.

Key Features of Aware Enterprise MRP

Event based planning.

The resultant action caused by any event is planned all the way through the supply chain.  As a result any query as to aplanned action further down the chain can be pegged up to the reason for the action.

Daily action list with priorities.

You can respond promptly to events which have arisen and if necessary expedite purchases or work orders.

Immediate assessment of the impact of an Order

Because it is highly efficient,  MRP It can be run at any time without affecting other operations.  Orders can be assessed for impact on stock and purchasing. When combined with the scheduler it lets you know whether you have the capacity to run a job, exactly when you can run it and whether the materials will be available.

Powerful Inventory Planning.

Designed to allow you to set inventory replenishment rules for safety stock and order quantities which will maximize service level while minimizing inventory investment.  The impact of any change can be assessed in terms of both investment and customer service level.
These rules can recalculate the safety stock for all items at regular (usually monthly) intervals. This calculation can be based on forecasts or past history.