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Summary
Summary
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A fully revised and updated edition of the landmark work on material requirements planning (MRP), Orlicky's Material Requirements Planning , Third Edition focuses on the new rules required to effectively support a manufacturing operation using MRP systems in the twenty-first century. This authoritative resource offers proven solutions that help you gain the competitive edge through strategic lead time reductions, substantial reductions in total inventory investment, and significant increases in service levels. This is an indispensable tool for manufacturing practitioners and anyone preparing for CPIM certification.
Coverage includes:
Inventory in a manufacturing environment Principles of MRP MRP system Processing logic Lot sizing System records and files Product definition Master production schedule Inventory planning and control system System effectiveness Industry effect on MRP Project manufacturing Remanufacturing Process industry application Repetitive manufacturing application Sales and operations planning Evolution of MRP and planning systems Demand driven MRP (DDMRP) logic Strategic inventory positioning Dynamic buffers Demand driven planning Highly visible and collaborative execution DDMRP performance reporting and analytics DDMRP futureBuilding on the pioneering work of Joseph Orlicky, this new edition of the classic text on material requirements planning (MRP) reveals the next evolutionary step for materials and supply chain synchronization in the modern manufacturing landscape.
Orlicky's Material Requirements Planning , Third Edition reviews the poor business results embedded in many of today's manufacturing systems, discusses the core problems causing these results, explains an alternative pull structure for planning and controlling materials flow, and presents results from actual implementations.
This thoroughly updated edition offers comprehensive coverage of MRP, describes the current state of the MRP application, and identifies the fundamental changes required to achieve sustainable success given the current global circumstances and technology options. This state-of-the art guide articulates the next generation of MRP logic--demand driven MRP (DDMRP)--and provides a roadmap for the near and distant future for this critical manufacturing management tool.
Carol Ptak is currently a partner with the Demand Driven Institute, and was most recently at Pacific Lutheran University as Visiting Professor and Distinguished Executive in Residence. Previously, she was vice president and global industry executive for manufacturing and distribution industries at PeopleSoft where she developed the concept of demand driven manufacturing (DDM). Ms. Ptak spent four years at IBM Corporation culminating in the position of global SMB segment executive.
Chad Smith is cofounder and managing partner of Constraints Management Group, a services and technology company specializing in pull-based manufacturing, materials, and project management s
Author Notes
Carol Ptak is currently a partner with the Demand Driven Institute and was most recently at Pacific Lutheran University as Visiting Professor and Distinguished Executive in Residence. Previously, she was vice president and global industry executive for manufacturing and distribution industries at PeopleSoft where she developed the concept of demand driven manufacturing (DDM). Ms. Ptak spent four years at IBM Corporation culminating in the position of global SMB segment executive.
A leading authority in the use of ERP and Supply Chain tools to drive improved bottom line performance, Ms. Ptak's expertise is well grounded in four decades of practical experience as a successful practitioner, consultant and educator in manufacturing operations. Her pragmatic approach to complex issues and dynamic presentation style has her in high demand worldwide on the subject of how to leverage these tools and achieve sustainable success.
She holds an MBA from Rochester Institute of Technology and completed the EMPO program at Stanford University. Ms. Ptak is a frequent educator at the university level and presents at many key technical conferences around the world including South Africa, France, Israel, Australia, Ireland, the Netherlands and eleven APICS International conferences. She is the author of numerous articles and the books DDMRP (Industrial Press, 2016) and Orlicky's Material Requirements Planning 3/E (McGraw-Hill, 2011) with Chad Smith, in addition to MR and Beyond and ERP, Tools, Techniques and Applications for Integrating the Supply Chain, Theory H.O.W. with Harold Cavallaro, Necessary but not Sufficient with Dr. Eli Goldratt and Eli Schragenheim. Together with Dean Gilliam she updated Quantum Leap, originally written by John Constanza.
Ms. Ptak is certified through APICS at the fellow level (CFPIM) and was certified in Integrated Resource Management (CIRM) with the first group internationally. Ms. Ptak was the President and CEO of APICS, The Educational Society for Resource Management for the year 2000. Prior to her election as APICS President, she served on the Society in a variety of positions.
Carol Ptak currently makes her home on a working cattle ranch in the Pinal Mountains near Globe, AZ with her husband, Jim, three horses and the largest fold of purebred registered Scottish Highland cattle in Arizona.
Chad Smith is the coauthor (with Carol Ptak) of the third edition of Orlicky's Material Requirements Planning (McGraw-Hill, 2011) and Demand Driven Material Requirements Planning (Industrial Press, 2016) and Precisely Wrong - Why Conventional Planning Fails and How to Fix It (Industrial Press 2017). He is also the coauthor (with Debra Smith) of Demand Driven Performance: Using Smart Metrics (McGraw-Hill, 2014). He is a cofounder of and partner in the Demand Driven Institute, an organization dedicated to proliferating demand driven methods throughout the world.
In 1997 Mr. Smith co-founded Constraints Management Group (CMG), a services and technology company specializing in demand driven manufacturing, materials, and project management systems for midrange and large manufacturers. He served as Managing Partner of CMG from 1998 to 2015. Clients, past and present, include Unilever, LeTourneau Technologies, Boeing, Intel, Erickson Air-Crane, Siemens, IBM, The Charles Machine Works (Ditch Witch), and Oregon Freeze Dry. Mr. Smith is also a certified expert in all disciplines of the Theory of Constraints, studying directly under the tutelage of the late Dr. Eli Goldratt.
Chad Smith makes his home in Wenatchee, Washington, with his wife, Sarah, and two daughters, Sophia and Lily.
Table of Contents
Foreword by David Turbide |
Preface |
Part 1 Perspective |
Chapter 1 Overview |
Chapter 2 MRP in the Modern World |
Chapter 3 The Four Critical Questions Answered |
Part 2 Concepts |
Chapter 4 Inventory in a Manufacturing Environment |
Chapter 5 Principles of Materials Requirements Planning |
Chapter 6 The Material Requirements Planning System |
Chapter 7 Processing Logic |
Chapter 8 Lot Sizing |
Chapter 9 System Records and Files |
Part 3 Managing with the MRP System |
Chapter 10 A New Way of Looking at Things |
Chapter 11 Product Definition |
Chapter 12 Master Production Schedule |
Chapter 13 More Than an Inventory Control System |
Chapter 14 System Effectiveness: A Function of Design and Use |
Chapter 15 Industry Effect on MRP |
Chapter 16 Project Manufacturing |
Chapter 17 Remanufacturing |
Chapter 18 Process Industry Application |
Chapter 19 Repetitive Manufacturing Application |
Chapter 20 Sales and Operations Planning |
Part 4 Looking Backward and Forward |
Chapter 21 Historical Context |
Chapter 22 Blueprint for the Future: Demand-Driven MRP Logic |
Chapter 23 Strategic Inventory Positioning |
Chapter 24 Buffer Profiles and Level Determination |
Chapter 25 Dynamic Buffers |
Chapter 26 Demand-Driven Planning |
Chapter 27 Highly Visible and Collaborative Execution |
Chapter 28 Demand-Driven Material Requirements Planning (DDMRP) |
Chapter 29 DDMRP Future |
Appendix A Joseph Orlicky's Contributions to Material Requirements Planning |
Appendix B Definitions: APICS Terms and Their Place in DDMRP |
Appendix C New Terms in Demand-Driven Material Requirements Planning |
Appendix D To My Best Recollection: The Eras of Material Requirements Planning (MRP) with Packaged Software |
Index |