With the various aspects of supply chain planning, distribution or materials have a growing focus as being a vital component to overall production. As demand varies within a manufacturing operation, how can demand accurately plan for the amount of goods that are required on-site and to be positioned? How efficiently are goods to arrive at the correct location in the amount of time given? These are questions pertaining to distribution requirements planning (DRP) and are what many project managers are asking themselves when it pertains to optimizing flow within an operation.
Distribution requirements planning (DRP) is the process in which goods are delivered in a much more efficient manner. These will include considering the aspects of establishing a good, quantity of the good, and a direct location that is needed to arrive at in a given time period. Distribution requirements planning is a must for manufacturing operations that are seeking to improve their overall supply chain process.
Advantages of Distribution Requirements Planning (DRP)
The advantages of distribution requirements planning (DRP) pertain to the following:
- DRP always connects to the current inventory and forecasts of field demand to manufacturing’s MPS and MRP. DRP allows for a fully integrated system and a continuous flow of information throughout the network. This pushes for a much more efficient and adequate production process/flow that ultimately cut costs and waste within a manufacturing operation.
- DRP is also accurately able to anticipate future requirements in the field. This enables for decreased inventory and costs within an operation and ultimately increases the organization’s profit. Anticipation of future requirements is by far one of the most beneficial aspects pertaining to distribution requirements planning (DRP).
- DRP matches material supply to demand, once again ultimately matching inventory to the customer service requirements and cutting costs within an operation. DRP also pushes for faster decision making, utilization of demand forecasting, planning initiation accuracy, and enhances overall customer service.
Utilizing DRP within a manufacturing operation is absolutely essential for manufacturing facilities that are seeking to increase overall effectiveness, utilization, cut costs, and increase profits. A software that can aid with effective implementation and utilization of DRP is PlanetTogether’s Advanced Planning and Scheduling (APS) Software. PlanetTogether’s Advanced Planning and Scheduling (APS) Software offers thorough insight into a manufacturing operation and how to improve the production process as a whole. APS has become a necessity for many operations around the globe and operations are reaping the benefits and maintaining a competitive edge within an operation.
Advanced Planning and Scheduling Software
Advanced Planning and Scheduling (APS) software has become a must for modern-day manufacturing operations due to customer demand for increased product mix and fast delivery combined with downward cost pressures. APS can be quickly integrated with a ERP/MRP software to fill gaps where these system lack planning and scheduling flexibility and accuracy. Advanced Planning and Scheduling (APS) helps planners save time while providing greater agility in updating ever-changing priorities, production schedules, and inventory plans.
- Create optimized schedules balancing production efficiency and delivery performance
- Maximize output on bottleneck resources to increase revenue
- Synchronize supply with demand to reduce inventories
- Provide company-wide visibility to capacity
- Enable scenario data-driven decision making
Implementation of Advanced Planning and Scheduling (APS) software will take your manufacturing operations to the next level of production efficiency, taking advantage of the operational data you already have in your ERP.