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And every conference showcased the latest technologies available to help you do so. Supply chain management saw its first leap in efficiency with the introduction of materials requirements planning (MRP) software that managed the component information needed to manufacture products. Everyone was excited about it.
Getting back to the first post about " What is Manufacturing? ", with MRP we generated Purchase Orders (POs) and Manufacturing Orders (MOs). Does MRP end there? The next phase of MRP was MRP II. MRP II added a Business Plan, Financial Plan and Production Plan BEFORE the MPS was run. Where did they go?
Jovan Cosmetics: Basic MRP as shown above. All MRP sheets were given to Purchasing to manage. But, Production Control used Vendor Scheduling to meet production plans and to manage inventory. Purchasing was tasked with Cost Reduction, Sourcing and Purchase Orders. These were Purchasing’s “Requisitions.”
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