Chapter 5
Master Planning
5.1 Introduction
Master planning generally includes the network of the company’s five levels of plans:
- 1. Production plan (PP)
- 2. Master production schedule (MPS)
- 3. Material requirements plan (MRP)
- 4. Capacity requirements plan (CRP)
- 5. Production and purchasing activity control (PPAC)
A production plan is the overall game plan for a company. It sets the aggregate output levels of the company based on forecast, confirmed customers’ orders, and available production capacity of the company. The production plan forms the basis for the master production schedule, which in turn forms the basis for material requirements planning. The company’s production plan, MPS, and MRP may all be linked with the company’s business ...
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