MATERIAL REQUIREMENTS PLANNING QMUZIK MATERIAL REQUIREMENTS PLANNING (MRP) IS AN EXTREMELY FEATURE-RICH AND POWERFUL PLANNING TOOL. MRP DYNAMICALLY PLANS TO BALANCE SUPPLY AND DEMAND AS PER PREDEFINED LOT SIZING POLICIES, LEADTIMES, CONTRACT REQUIREMENTS, SHELF LIFE EXPIRATION AND QUALITY REQUIREMENTS. These abilities escalate the Qmuzik MRP tool to being so much more than a mere planning tool that balances supply and demand. MRP considers demand from the sales forecast, open sales orders for products, spare parts and customer specials and– repairs, internal requirements for maintenance and equipment refurbishment, project requirements, subcontracted purchase orders, safety stock levels and stock requisitions. MRP provides excellent multi-level pegging to the source of demand and identifies pegs and retains stock allocation and stock ownership of customers and projects during its projected-available and balancing process. It has the ability to perform discrete contract- and project planning where contracts and projects have specific bills of material, routings, make/buy decisions, customer furnished item requirements and sourcing rules. It provides dynamic workbenches for materials planners, production planners and buyers to analyse supply and demand, to act on order release and rescheduling and to meet inventory turnover goals and minimize excess stock and obsolescence. MRP provides for multiple what-if simulations and MRP runs can be executed real-time in normal working hours. MAIN MRP RUN SELECTION SCREEN Order splitting and auto-release – Qmuzik MRP makes extensive provision for Supplier catalogues which also accommodates pre-negotiated pricing with your suppliers where the negotiated terms and conditions, lot sizing rules, lead-time, data-based prices and discount per item can be specified. Where contracts were negotiated as such, automatic call-off against the contract can be made by MRP with recognition of the predefined preferences and via the auto-releasing of orders to a supplier. Settings also allow for the autosplitting of planned purchase orders between suppliers as per user-defined ratios and preferences. Simulation capability – Qmuzik ERP allows for multiple simulation scenarios. These may serve the purpose to assist in quotes and deliver-to-promise analysis, to test forecast feasibility in terms of material availability and shop floor capacity, to analyse the impact of contract cancellations, supply interruptions, major engineering changes or new product releases. Some special features of Qmuzik MRP are: Real-time – Qmuzik supply chain activities constantly informs planners and buyers of unplanned events via mail prompts. These events may include stock adjustments, scrap, quarantine, new sales demand, engineering changes and others that may drastically cause an imbalance in supply and demand and threaten cost- and delivery targets. The MRP tools provide real-time, online MRP runs (for selective parts or Global) to be performed to immediately analyse the impact and the actions to be launched as required. Discrete project planning– Qmuzik ERP allows for the specifying of contract- and project specific rules, priorities and tactics. These may extend to contractspecific bills of material, routings, make-buy decisions, substitution rules, QA and test piece requirements, customer furnished items per contract, and sourcing rules enforcing the use of customer approved suppliers or OEM suppliers only and many others. Although these simulations are normally performed on a separate database, it can also be performed real-time on the production database, which will then yield special action messages, which planners and buyers can recognize as being the result of a simulation and is not to be acted upon. Order operations and shop floor load– Qmuzik ERP provides the option to auto-create order operations for planned replenishment orders within a specified horizon. This provides future visibility of shop floor load versus shop floor capacity and thus allows advance planning to reschedule, to increase capacity or to time the downtime of machinery and equipment for maintenance or upgrades. Work benches– Qmuzik ERP provides multiple workbenches in all areas of the supply chain (Procurement, Production, Sales, Maintenance, Engineering) to analyse inventory, to identify and act on planned order releases, rescheduling, cancellation of excess on order, as well as detailed and graphical supply and demand analysis. This includes shortage checking, identification of standard items and substitute items that may be applied, shelf life expiry details and extension options, quality - and quarantine analysis and many more. MRP identifies these contract requirements and engineering baselines and plans discrete replenishments in order to adhere to such rules. It also applies the stock-commingling rules that govern the extent to which stock can be shared with other contracts and projects. For projects it can further identify the specific project element in a project WBS on a replenishment order as a result of mapping the project WBS into the Bill of material hardware structure. This ensures that project ownership can thus be protected once items are received into stock. This further extends to contract-specific bills of material and routings with excellent options to base the timing of engineering changes either on effective dates or on enditem serial numbers. The latter provides the ultimate solution since it is not influenced by the rescheduling of demand or supply. Qmuzik Technologies (Pty) Ltd l Trentbridge Office Park l c/o Von Willich Ave & Leonie St l Centurion l Tel: 012 640 3500 l Fax: 012 640 3511 l info@qmuzik.com l www.qmuzik.com 2014 material requirements planning.docx Page 1 of 1