1 / 28

Master Scheduling and Rough-Cut Capacity Planning

Master Scheduling and Rough-Cut Capacity Planning. ISQA 459/559 Mellie Pullman. Learning Objectives. Explain the role & objectives of a master production schedule Explain the organizational links to master production scheduling Develop a master production schedule

kaseem-dalton
Download Presentation

Master Scheduling and Rough-Cut Capacity Planning

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Master Scheduling and Rough-Cut Capacity Planning ISQA 459/559 Mellie Pullman

  2. Learning Objectives • Explain the role & objectives of a master production schedule • Explain the organizational links to master production scheduling • Develop a master production schedule • Explain rough-cut capacity planning • Calculate available-to-promise quantities • Describe time fence policies

  3. Role of the MPS • Aggregate plan: • Specifies the resources available (e.g.: regular workforce, overtime, subcontracting, allowable inventory levels & shortages) • Master production schedule: • Specifies the number & when to produce each end item (the anticipated build schedule) • Disaggregates the aggregate plan

  4. Business Planning Hierarchy

  5. Planning Links to MPS

  6. Objectives of MPS • Maintain the desired customer service level • Utilize resources efficiently • Maintain desired inventory levels

  7. Developing an MPS: • Assume: • Make-to-stock environment • Production is in fixed quantities of 125 (MPS) • 110 units in beginning inventory (BI)

  8. Sample Problem • We start with 110 units in Beginning Inventory • Projected Available: How many units are available at the end of each time period? • MPS: Replenishment Shipments that need to arrive at the beginning of the time period Projected Available =BI + MPS - Forecast

  9. Step 1 • Find first negative “projected available” We start with 110 units in Beginning Inventory Projected Available: How many units are available at the end of each time period? (safety stock criteria could be in place > 5) MPS: Replenishment Shipments that need to arrive at the beginning of the time period

  10. Schedule Production

  11. Repeat

  12. Continue, Until Complete

  13. Evaluating the MPS • Customer service issues: • Does “available-to-promise” inventory satisfy customer orders? • What new orders can we take from customers and when?

  14. Available to Promise • When a customer places an order, they do not expect immediate delivery (negotiable). • The product will delivered by some later date. • ATP = how many uncommitted units the company has available at a given time

  15. New Calculation for Projected Available Projected Available = BI + MPS – Max (Customer Orders ; Forecast)

  16. Available-to-Promise“Action Bucket” • “Action Bucket” = the current period • Only calculate ATP during in Action Bucket and when MPS occurs ATP action bucket = BI +MPS-customer orders before next replenishment 110 + 0 – (35+25) = 50

  17. Available-to-Promise“Replenishment periods” • ATP for replenishment periods ATP = MPS - customer orders between current MPS and next scheduled replenishment ATP period 3 = 125 – (25 + 20)= 80 ATP period 5 = 125 – (0 + 15)= 110

  18. New Order • Suppose we get an order for 200, can we accept this for delivery in period 5?

  19. Worksheet for New Order for 200 Fit in the order for 200 (can’t change MPS)

  20. New Order for 200 • Negative number in Projected Available = might be a problem in the future • Negative number in Available to Promise= always a problem Solution?

  21. Split up New Order for 200 Check to see if this is OK

  22. Can you now take 2 more orders? • 50 units to be delivered in Period 8 • 30 units to be delivered in Period 12

  23. Time Fences

  24. Frozen: no changes are possible with a certain period of time (i.e. 8 weeks) • Time Fence (length of period schedule is frozen, liquid, etc.) • Demand Fence: MPS numbers do not change and focus is on orders not forecast • Planning Fence: Master Production Scheduler is planning more MPS.

  25. Rough-cut 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?

  26. Rough-Cut Capacity Planning • Determine required resources & proposed workload: Hours/unit

  27. Calculate RequiredLabor Hours • Compare with hours available

  28. Calculate RequiredMachine Hours • Compare with hours available

More Related