Production and Material Requirements Planning

Dmitry Ivanov, Alexander Tsipoulanidis and Jörn Schönberger
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Dmitry Ivanov: Berlin School of Economics and Law
Alexander Tsipoulanidis: Berlin School of Economics and Law
Jörn Schönberger: Technical University of Dresden

Chapter 12 in Global Supply Chain and Operations Management, 2021, pp 359-383 from Springer

Abstract: Abstract In this chapter, the sales and operation planning (S&OP) concept is presented. It starts with an introductory case study considering sales and operations planning at a petrochemistry company. In the beginning, different planning horizons and the role of aggregate planning are discussed. Afterward, different options for matching demand and supply at an aggregated level are explained. Next, the rolling planning concept is introduced. Subsequently, the concept of the master production schedule (MPS) is presented. We will learn how to apply linear programming methods to production planning. Finally, the principles of exploiting the bill-of-materials are discussed to show how dependent material requirements can be computed while taking lead time into account. This chapter is accompanied by an E-Supplement providing additional case studies, Excel templates, tasks, and video streams.

Keywords: Material requirements planning (MRP); Aggregate planning; Master production schedule (MPS); Bill-of-materials (BOM); Linear programming (LP) (search for similar items in EconPapers)
Date: 2021
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Persistent link: https://EconPapers.repec.org/RePEc:spr:sptchp:978-3-030-72331-6_12

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DOI: 10.1007/978-3-030-72331-6_12

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