You have learned about the important role of using material requirements planning (MRP) to ensure that materials are available when a company needs them and to minimize unnecessary inventory taking up space and costing money. This exercise will provide you with an opportunity to develop an MRP for your small business that is rapidly growing.
Your company manufactures sanitizing products, and the recent pandemic has caused your business to triple overnight with no sign of slowing down. This growth has made you rethink the way in which you are running your business and fulfilling orders.
Review the article Not Just for Manufacturing, Material Requirements Planning (MRP) is Indispensable for Any Business for more information on the importance of an MRP.
Write a 3–5-page paper that covers the following topics:
What questions do you feel your team should ask in addition to the 3 key questions when planning for MRP?
Describe the steps and processes that you feel are necessary for your company’s MRP, and explain their importance.
Discuss the obstacles you might run into using your MRP and what you plan to do to resolve them.
The three key questions of MRP are:
In addition to these three questions, I believe my team should also ask the following questions when planning for MRP:
By asking these additional questions, we can get a more complete picture of our needs and how MRP can help us meet them.
Describe the steps and processes that you feel are necessary for your company’s MRP, and explain their importance.
The following are the steps and processes that I feel are necessary for our company’s MRP:
These are just the basic steps and processes involved in MRP. There are many other factors that can be considered, such as safety stock, quality control, and supplier relationships.
Discuss the obstacles you might run into using your MRP and what you plan to do to resolve them.
There are a number of obstacles that we might run into when using MRP. Some of these obstacles include:
To resolve these obstacles, we need to make sure that our data is accurate and up-to-date. We also need to develop relationships with reliable suppliers. And we need to have a flexible MRP system that can adapt to changes in demand.
By following these steps, we can use MRP to improve our inventory management, production planning, and scheduling. This can help us to improve our efficiency and profitability.