D C M S - A Fully Customizable MRP System

Overview

Interfaces - Intimately integrated within DCMS, EDI to other DCMS systems, External interfaces to 3rd party software.

Associated DCMS modules - Other associated DCMS modules include: Supply Chain Management, Purchase Order Processing, Stores and Inventories, Accounts.

Product Components - Each Product has a list of Product, Stock, Non-Stock and Service Items defining the Bills Of Materials (BOM) of that Product.

Production Demand - Demand is driven from external client orders or production to stock (driven by finished-goods stock-requirements or by need to process short-life raw materials).

Production Orders - Taking into account existing product stock and products under production, Production Orders are automatically raised to meet demand. Production Orders drive the BOM (Bill Of Materials).

Production Batches - Production Orders of similar characteristics are processed into Production Batches – to optimally meet production constraints.

Produced Goods - Produced batches are automatically allocated to demand sources.

BOM drives the Purchase Order Processing (POP) & Inventories System -

  • Creates External Purchase Requests (EPRs), for purchasing missing components, taking into account components on order and production plus component delivery timing
  • Approved EPRs transformed into LPOs
  • LPOs transformed into GRVs, once goods arrive
  • Production Batches with arrived or existing components released for Production
  • Bills raised out of GRVs plus whatever required down-payments
  • Financial System takes over – AP, Payments, GL, Statements etc.

    • MRP I

    Material Requirements Planning (MRP I) - a methodology and system used to plan and manage manufacturing operations. The BOM for products released to manufacturing is a key part of the MRP system's database.

    BOM - (1) The Bill Of Materials is the blow-up of the individual planned products into their base components (Materials).

    MRP - (2) When interwoven with the Master Production Schedule the system then generates the Material Requirements Plan. What materials are not in Inventory, they must be ordered from suppliers.

    Production Demand - Demand is driven from external client orders or production to stock (driven by finished-goods stock-requirements or by need to process short-life raw materials).

    MRP I

    MRP II

    Manufacturing Resources Planning (MRP II) - a computer modeling technique for analyzing and controlling complicated Manufacturing operations. When the manufacturing data has been collected (parts, assemblies, resources) the lead-time and cost of every component can be predicted under any manufacturing conditions. As soon as an order is received the workload on the manufacturing organization and the delivery time can be calculated. MRP II systems also keep track of customers, suppliers and accounting functions. Inventory can be purchased and assemblies made "Just in Time". The records kept by an MRP system highlight inadequacies such as overloaded production centers and delays by suppliers. The effect of new orders, changes in capacity, shortages, delays and a myriad of other disturbances are calculated and tracked with confidence.

    The major effects that an MRP II system will have on a manufacturing operation will be:

  • Reduced inventory.
  • Accurately predicted delivery times.
  • Accurate costing at every stage of the manufacturing process.
  • Improved use of manufacturing facilities.
  • Faster response to changing conditions.
  • Control of every stage of production.

    • It is sometimes a good strategy to first implement MRP I and when ready move to MRP II.

    MRP II Business Processes:

  • Business Planning.
  • Production Planning.
  • Master Production Scheduling.
  • Material Requirements Planning.
  • Capacity Requirements Planning.
  • Executing Capacity Plans.
  • Executing Material Plans.