Improving production planning through finite-capacity MRP

Tommaso Rossi, Rossella Pozzi, Margherita Pero and Roberto Cigolini

International Journal of Production Research, 2017, vol. 55, issue 2, 377-391

Abstract: Materials Requirement Planning (MRP) technique is widely employed by most manufacturing companies, even though field applications point out some weaknesses, including ignored production capacity constraints and fixed lead-times. These weaknesses often lead to infeasible production schedules, which trigger fluctuating workloads over time, significant adjustment effort and eventually unpredictably long lead times. This paper introduces a capacity-oriented MRP procedure that combines the traditional MRP procedure with an approach based on linear programming: in this way, requirement of lead times pre-determined a priori outside the MRP procedure is overcome. The new procedure is then applied to a real-life company and results highlight that feasible plans of orders are generated without requiring lead-times as input and without relevant computational burden.

Date: 2017
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Citations: View citations in EconPapers (3)

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DOI: 10.1080/00207543.2016.1177235

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