“Pulling” MRP

In the long-running debate about “push” versus “pull” in manufacturing planning and management, the two sides are typically exemplified by MRP on the push side and lean representing pull.

Do you need a new ERP system?

Admit it – you sometimes (often?) question whether the ERP system you have in place is really the best one for your company and its needs. Is your discomfort justified? Can the incumbent system be “saved” or should it be replaced?

Should you reduce inventory?

There is a “right” amount of inventory — dropping it below the optimum amount results in shortages — holding more inventory than required is waste.

5-Day APICS Certified Supply Chain Professional (CSCP) public workshop

The Granite State Chapter of APICS will be offering a 5-day APICS Certified Supply Chain Professional (CSCP) class in Portsmouth, NH on February 13, 20, 27 and March 12, 19.

UPC versus RFID

Virtually every consumer product in the market has a Universal Product Code on it and RFID tags enable even tighter inventory control and precise tracking. Why hasn’t RFID technology replaced the UPC bar code, though?

Being Demand Driven in an MRP world

MRP (Material Requirements Planning) is not as responsive or efficient as we’d like it to be. A new approach takes the best features of MRP and adds on lean and constraint-based features to make it more demand-driven and more effective for today’s manufacturing challenges.

Reconsidering Inventory Rationale

Dropping inventory below the optimum amount causes shortages, whereas holding more inventory than necessary will result in waste. The main reason for keeping inventory is to save time, so lowering it will adversely affect the condition that the inventory is there to manage. You should go back to why you made those decisions in the first place.

We don’t manage inventory

Despite the focus on inventory (check out Dave’s article “Inventory errors cause revenue losses”), we as operations managers, do not actually manage inventory. We manage production, resources, sales, etc. Inventory is a visible measurement of the success of our efforts.

Set It to Automatic

It is generally accepted that inventory records should be at least 95-to-98 percent accurate in order to enable successful enterprise resources planning and provide good customer service. But your information system and the plans, recommendations, and alerts it gives you are only as good as your data. While many companies are able to achieve and maintain inventory accuracy, many more continue to struggle.

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