Chpt 15 Flashcards
What is Material Requirements Planning (MRP)?
MRP is a computerized production planning and inventory control system.
What is one of MRP’s objectives?
To maintain the lowest possible level of inventory by determining when component items are needed.
What are the four basic steps of the MRP process?
- Exploding the bill of material
- Netting out inventory
- Lot sizing
- Time-phasing requirements.
What is Capacity Requirements Planning (CRP)?
CRP is a computerized system that projects the load from a material plan onto the capacity of a system.
What are the three major inputs to CRP?
- Planned order 2. Routing file 3. Open orders file.
What does CRP identify?
CRP identifies underloads and overloads in the system.
What is load leveling in CRP?
Load leveling is a solution method to balance underloads and overloads.
What is Enterprise Resource Planning (ERP)?
ERP is software that helps companies organize and manage their business processes by sharing information across functional areas.
What are key modules of ERP systems?
- Finance/accounting module 2. Sales/marketing module 3. Production/materials management module 4. Human resources module.
What is a challenge of ERP implementation?
ERP implementation can be capital intensive, making it difficult for small and midsize companies.
What types of software are related to ERP?
Related software includes customer relationship management (CRM), product lifecycle management (PLM), and supply chain management (SCM).
How can PLM (product life cycle management) reduce time to market?
By enabling customer and supplier collaboration on design.
What is assemble-to-order?
A manufacturing environment in which previously completed sub-assemblies are configured to order.
What is backward scheduling?
A method that schedules backward from the due date.
What does best-of-breed refer to?
The selection of ERP modules from different vendors.
What is big data?
Large volumes of both structured and unstructured data.
What is a bill of material (BOM)?
A list of all the materials, parts, and assemblies that make up a product, including quantities, parent–component relationships, and order of assembly.
What does capacity mean in manufacturing?
The maximum capability to produce.
What is capacity requirements planning (CRP)?
A system that creates a load profile that identifies underloads and overloads.
What is cloud computing?
On-demand IT services delivered over the Internet.
What is cumulative lead time?
The total length of time required to manufacture a product.
What is customer relationship management (CRM)?
Software that plans and executes business processes involving customer interaction, such as sales, marketing, fulfillment, and customer service.
What is cycle counting?
An inventory procedure that takes physical count of inventory at various cycles during the year.
What is efficiency in manufacturing?
A measure of how well a machine or worker performs compared with a standard output level.
What is enterprise resource planning (ERP)?
Software that organizes and manages a company’s business processes by sharing information across functional areas.
What does it mean to expedite an order?
The decision to speed up an order so it is completed in less than its normal lead time.
What is explosion in manufacturing?
The process of determining requirements for lower-level items.
What is forward scheduling?
A method that schedules forward from today’s date.
What is an item master file?
A database of information on every item produced, ordered, or inventoried.
What is load in manufacturing?
The standard hours of work assigned to a facility.
What is load levelling?
The process of balancing underloads and overloads.
What is load percent?
The ratio of load to capacity.
What is a load profile?
A graphical comparison of load versus capacity.
What is lot sizing?
A method to determine the quantities in which items are usually made or purchased.
What is a master production schedule (MPS)?
A schedule of finished products that drives the MRP process.
What is manufacturing resource planning (MRP II)?
A method for the effective planning of all resources, including materials, capacity, finance, and the manufacturing company’s marketing strategy.
What is material requirements planning (MRP)?
A computerized inventory control and production planning system.
What are modular bills of material?
Bills used to plan the production of products with many optional features.
What is netting in inventory management?
The process of subtracting on-hand quantities and scheduled receipts from gross requirements to produce net requirements.
What is periodic order quantity (POQ)?
A lot sizing technique that orders at set time intervals.
What is product lifecycle management (PLM)?
Software that manages the product development process, product lifecycles, and design collaboration with suppliers and customers.
What is a product structure file?
A file that contains computerized bills of material for every item produced.
What is service-oriented architecture (SOA)?
Services that communicate with each other within or between software.
What is software as a service (SaaS)?
On-demand access of software from a provider’s site.
What is supply chain management (SCM)?
Software that plans and executes business processes related to supply chains.
What is a time fence?
A management-specified date within which no changes in the master schedule are allowed.
What is a time-phased bill of material?
An assembly chart shown against a time scale.
What is time phasing?
The subtraction of an item’s lead time from its due date to determine when to order an item.
What is utilization?
The percent of available time spent working.
What is XML?
Extensible markup language; the business language of the Internet.
