Introducing MRP II, with enhancements: the case of a furniture manufacturer
M. J. DE VAAN
Abstract
M. J. DE VAAN
Abstract
A manufacturer of office furniture tried to implement MRP II without proper understanding of MRP II. No attention was given to the adaptation of the standard MRP II concept to the specific characteristics of the firm. The result was a dramatic cost increase for planning and control and at the same time a disastrous fall in delivery service to customers. This article describes how the MRP concept was improved and what elements of JIT and OPT have been added leading to successful competitive logistics for this manufacturer.
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A manufacturer of office furniture tried to implement MRP II without proper understanding of MRP II. No attention was given to the adaptation of the standard MRP II concept to the specific characteristics of the firm. The result was a dramatic cost increase for planning and control and at the same time a disastrous fall in delivery service to customers. This article describes how the MRP concept was improved and what elements of JIT and OPT have been added leading to successful competitive logistics for this manufacturer.
Key concepts: Material requirements planning, Business, Adaptation (eye), Manufacturing engineering, Operations management, Control (management), Service (business), Computer science