Month: March 2022

First problem with MRP systems – the integrity of the data. If there are any errors in the inventory data, the bill of materials (commonly referred to as ‘BOM’) data, or the master production schedule, then the output data will Read More …

The basic functions of an MRP system include: inventory control, bill of material processing, and elementary scheduling. MRP helps organizations to maintain low inventory levels. It is used to plan manufacturing, purchasing and delivering activities. “Manufacturing organizations, whatever their products, Read More …

Material Requirement planning (MRP) is a technique used to determine the quantity and timing requirements of ―depended demand‖ materials used in the manufacturing operation. The materials can be purchased externally or produced in-house. The important characteristic is that their use Read More …

Apart from the general commitment to JIT, two things essential to the implantation of JIT are that: first, all parts must arrive where they are needed, when they are needed and in the exact quantity needed. Secondly, all parts arriving Read More …

Some of the main problems with JIT are Its inability to deal with unforeseen circumstances Reliance on perfect quality of materials from suppliers Reduced flexibility to meet specific or changing customer demands Difficulty of reducing set up times and associated Read More …

The potential benefits of JIT to an organization and its purchasing function in particular, have been summarized as follows: Shorter lead-times Shorter time needed to make a product Higher equipment capacity and utilization Simplified planning and scheduling Less paperwork Less Read More …