Search Results for: supply-planning

  • Questions Around S&OP, MPS and Capacity Planning

    … Production Scheduling. Even though I am not sure if this is called Master Production Scheduling because according to your blog it should be called MRP. But is this then aggregating this for S&OP??
    Using APS- Master Planning Modules. Are the Supply Planning Modules you mentioned in your book About Supply Planning like SNP Master Planning Modules or something totally different?
    Besides, there are S&OP Softwares available. Are they mainly for creating Dashboard, what if Analysis and demand planning or also for capacity planning?

    Answer #1
    I believe you have mixed up different supply planning threads. See this article …

  • How to Create a Functional Relationship with Service Levels

    Executive Summary

    Service levels are terribly managed within companies.
    This is primarily because sales and marketing set service levels without understanding the implication on constraints and supply chain costs.

    Introduction
    The choice of service levels sets priorities for how much of each product to stock at each specific location (a warehouse or other internal stock location), which we’ll call the product/location combination.
    Placing a product into the supply chain network requires a capital investment, takes up space in a warehouse, and must be transported to its location. Therefore, each item placed in stock is in competition with other …

  • How to Best Perform Supply Chain Lead Time Calculation

    … Lead times are normally not shown graphically in supply planning systems. However, if they were — they would look something like a project plan. That is, lead times are a sequence of dependent durations with relationships. Manufacturing can’t commence upon material until the material arrives, and the material can’t arrive until the time has passed from the order, etc..
    Auto Lead Time Calculation of Interdependent Lead Times in Supply Planning Systems
    In a supply planning system, all of these dependencies are calculated every time, and a sales order is created.

    The system knows that if a sales order is

  • How to Supply Plan Long Lead Time vs Short Lead Time Items

    Executive Summary

    Lead time has a definition and has different categories.
    Important topics are lead-time accuracy, effective lead time, static versus effective lead time, and long lead time versus short lead-time items.

    Introduction
    Lead times are always in the background but often overlooked in supply chain management. Even central concepts put forward by Lean or JIT proponents are frequently based upon (in part) a misunderstanding of lead times versus the replenishment trigger. Much of the focus on lead times is on shortening them rather than how supply planning systems manage lead times. Consultants often discuss lead times not …

  • How to Best Use Deployment and DRP

    … the initial supply plan runs and brings material into the supply network.
    DRP is one of the most essential methods in supply chain planning. However, MRP (and DRP), while old, are still the most common methods of performing deployment planning. DRP is one method of creating the deployment plan.

    What Supply Planning Thread is DRP Part of?
    DRP is one method of creating the deployment plan. But what is being performed is actually deployment. This is moving the material outbound through the supply chain to the final customer.

    The first is the planning of production orders and purchase requisitions to …

  • How to Best Understand Engineered to Order

    Executive Summary

    Engineer to order or engineering to order has a specific definition.
    Sales orders must be submitted consistent with engineered or configuration order as it relates to replenishment trigger.

    Video Introduction to Our Engineer to Order or Engineered to Order or Engineering to Order Definition
    https://youtu.be/o-jqKRuWNdE
    Text Introduction (Skip if You Watched the Video)
    Engineer to Order or Engineered to Order or Engineering to Order, or sometimes called (ETO), is one of the major manufacturing environments. Engineered to order is an extension to make to order where the company receives specifications from the customer. ETO …

  • How to Best Understand the Forgotten Supply Driven Supply Chain

    Executive Summary

    Demand-driven supply chains are far more promoted than the almost unheard of supply-driven supply chains.
    To understand supply driven supply chains, one must understand locked in production.
    Supply-driven supply chains mean understanding managing contracts and understanding co-products.

    Introduction to Supply Sided Supply Chains
    A demand driven supply chain is considered the right approach to supply chain management. It seems so obvious. The demand driven supply chain starts at the demand, and everything works backward from there. Therefore the question now becomes how can a supply chain become more demand driven.
    However, what is the …

  • How to Best Estimate The Costs of Attaining Fill Rate

    Executive Summary

    Service level has two primary measurement methods, order fill rate, and case fill rate.
    Companies estimate the fill rates they achieve incorrectly.

    Introduction
    There is no hard and fast rule on how high a fill rate should be. Many companies set their fill rate as part of a strategy to differentiate themselves and place themselves as a reliable supplier in the market without quantifying what the financial benefit is to a particular service level.
    Order Fill Rate Versus the Case Fill Rate
    There are two basic types of ways of measuring the fill rate. One is the order …

  • To Whom Should Supply Chain Planning Report?

    Executive Summary

    Who supply chain planning reports to versus who it should report to?
    The current problem is the time horizon orientation of supply chain planning.

    Introduction to Who Supply Chain Should Report
    I was recently asked where a potential newly created supply chain-planning department should report. Online you can find answers to the question of where supply chain planning departments usually report. But this does not answer the question of where the Supply Chain Planning department should report.
    In the area of supply chain planning, there are genuinely very few companies to look up to. Companies want the …

  • The Brightwork Research & Analysis Rating and Risk for PlanetTogether Galaxy APS Superplant

    Executive Summary

    This is the Brightwork Research & Analysis software rating series.
    We rate both the software and estimate the risk of implementing each application.

    MUFI Rating & Risk for PlanetTogether Galaxy APS Superplant
    MUFI: Maintainability, Usability, Functionality, Implement ability
    Vendor: PlanetTogether Galaxy APS (Select For Vendor Profile)
    Introduction
    PlanetTogether has created a substantial portion of the overall applied innovation in production planning and scheduling over the past ten years. PlanetTogether is known as a production planning and scheduling software vendor. However, PlanetTogether’s Galaxy APS has a supply planning functionality that no other software vendor presently offers. This feature is of …