ABSTRACT

Operations planning is the detailed calculation of the material and capacity required to execute the Sales and Operations Plan. Material Requirements Planning (MRP) pulls together all the requirements for an individual part from the variety of demand sources and calculates a recommend replenishment plan that meets all the requirements. In addition, MRP also provides information by exception when the demands and the expected supply are out of alignment. This information allows the planner to react specifically to those areas requiring attention rather than requiring a routine detailed examination of every part.