In our previous post, Responsiveness, quality and control - why industrial manufacturers use abas ERP, we looked at some of the key features that make abas ERP so powerful for industrial manufacturers.
Today's post will offer a closer look at one of those features, the Master Production Schedule (MPS), and explain more about how this aspect of the software facilitates manufacturers' end-to-end processes.
What does the MPS do?
The MPS tool allows manufacturers to dynamically assess customer requirements and empowers users to make decisions that create an optimal manufacturing environment.
By definition, the MPS is a planning tool that exists as a layer between your material requirements planning system and your demand — both forecasted and actual. The MPS is used to balance demand with capacity by moving production from periods with inadequate capacity into periods with greater accommodation. With this, your planner can forecast more predictable long- and short-term planning for production and purchasing.
The MPS is the glue that holds your material requirements planning and demand forecasts together.
The next key component of the MPS is a dynamic Available to Promise (ATP) date — which quotes both the available quantity and expected delivery date — that can be generated at order entry. If this date does not meet the requirement, you can change the due date to meet the quantity, lower the quantity to keep the date, or move the quantity outside of the planning horizon. This level of control is not only useful from a planning perspective, but it's also a great way to improve customer service.
abas ERP's dynamic ATP makes order entry much more efficient because the Sales Team member does not need to leave the sales order screen to determine realistic dates of fulfillment. From a production and planning perspective, the MPS takes away the element of surprise, which creates fewer backstock situations or interruptions in the production process. The accuracy and efficiency is what saves salespeople from having to go back to the customer to say that the order has been delayed.
Customization for your individual needs
While industrial manufacturers have a lot of similarities in terms of scheduling, forecasting and planning practices, each business has its own nuances that necessitate a more customized ERP solution.
abas ERP is built for customization, which can be critical for customers in the industrial manufacturing industry. An example of this is when abas altered MPS for a client who needed more granular forecasts. In general, Forecasted Production Schedules rarely need a resolution higher than a weekly level. This particular client, however, wanted to go further and project Daily Forecasts. This adds a dimension of complexity from a scheduling perspective, but abas was able to meet this need with ease.
Interested in learning more about abas ERP and MPS? Feel free to contact us at anytime, and you can also download our free whitepaper: Perfection in Production, for even more information about abas ERP!