Master Production Capacity Planning

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2.5.1 Workforce capacity The workforce level can be derived from the production capacity planning. The workers’ absence and free shift planning should be added to compute the gross demand for workers. The gross number of workers has to be satisfied by the group of regular and part time workers. There is a limit on the proportion of part time workers in relation to the entire workforce. This limit can be considered as one of the firms working strategies. Moreover, the number of workers of each group that are hired or dismissed is limited for each period. Workforce capacity planning requires to make links between commissioner's programmed leads, project managers and workforce leads, So that there is an informed and cohesive approach. Workforce…show more content…
It sets the quantity of each end item to be completed in each week of a short-range planning horizon. A Master Production Schedule is the master of all schedules. It is a plan for future production of end items. The input of the Master Production Schedule is forecasting demand, production and inventory cost, inventory levels, lot size and production lead time and capacity. The output of the Master Production Schedule is production plan. The Master Production Schedule will drive detailed material and production requirements in the material requirements planning modules. Omar et al. [64] focuses on disaggregation of an aggregate production planning model to create a master production schedule for a resin manufacturing plant under uncertain environment. Formulated the disaggregate model as a fuzzy mixed-integer linear programming model that aims to develop a master production schedule in which numbers of optimal batches are developed in presence of setup time. Leong et al. [65] studied and focused on a disaggregate model to ensure that the production quantities determine in the model agree with those dictated by the aggregated model.Chung and Krajewski[66]show that in a hierarchical production planning structure for a rolling horizon MPS, the product cost structure influences the optimal choice of frozen interval lengths. Sridharan and Berry [67]show state demand…show more content…
An MRP integrates data from production schedules by that from inventory and the bill of materials BOM to determine purchasing and shipping schedules for the parts or components required to build a product. There are three primary functions of an MRP system. First, the system aids confirm that the appropriate materials are available for production and the necessary products are available for customers to avoid shortages. Second, MRP reduces waste by maintaining only the lowest possible materials and product levels in stock. Finally, an MRP system aids plan manufacturing functions, delivery schedules and purchasing [69]. De Bodt and Wassenhove [70] studied the effect of costs under a single-level MRP environment with uncertainty in demand, a time horizon and decision making around lot sizing, safety stocks were considered. The authors showed that the forecast errors have an important effect on the relative costs of the lot sizing and safety stock decisions, and the differences in the estimated costs are significant for different techniques in the presence of forecast errors. Also, their results display that the safety stock and lot-sizing policies are important for companies that use MRP under an uncertain environment. John et al.[71] studied and discussed the cost of overestimated lead times on the operation of a MRP system. The author used a simulation model with several stochastic

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