GMS 401 Chapter Notes - Chapter 13: Anxiety, Enterprise Resource Planning, Batch Production
Document Summary
Chapter 13 - material requirements planning (mpr) and enterprise resource planning (erp) Mpr is a planning and scheduling technique used for batch production of assembled items. Epr involves the use of extensive software to integrate record keeping & information sharing within a business. A major distinction in the way inventories are managed results from the nature of demand for those items. Dependent demand: demand for subassemblies, parts, or raw materials which are derived from the plan for production of finished goods. Independent demand: demand for the finished goods are independent. Independent demand items must be carried on a continual basis, dependent demand items need only be d stoked just prior to the time they will be needed in the production process. Little or no need for safety stock of dependant demand items due to the predictability of usage. Material requirements planning (mrp): the process to determine the ordering and scheduling of dependent demand components (e. g. raw materials, parts, subassemblies)