Demand Driven Material Requirements Planning (DDMRP), Version 2. Carol Ptak
CHAPTER 4
Unlocking a Solution—The Power of Decoupling
Supply Order Generation and Execution for the New Normal
MRP Versus Lean—What Can We Learn?
Dependence Versus Independence
Supply Order Generation (Planning Versus Execution)
Demand Driven Material Requirements Planning
The History of “Demand Driven”
Strategic Inventory Positioning
Sales Order Visibility Horizon
Inventory Leverage and Flexibility
Applying the Positioning Criteria
A New Form of Lead Time
Advanced Inventory Positioning Considerations
Distribution Positioning Considerations
Summary
CHAPTER 7
Strategic Buffers
Inventory: Asset or Liability?
Introducing Decoupling Point Buffers
The Green Zone
The Yellow Zone
The Red Zone
Buffer Profiles
Factor 1: Item Type
Factor 2: Lead Time
Factor 3: Variability
Individual Part Attributes
Part Average Daily Usage
Part Lead Time
Part Minimum Order Quantity
Part Location
Calculating Replenished Part Buffer Levels and Zones
The Green Zone
The Yellow Zone
The Red Zone
Continuing with Company ABC
Iterations
Calculating Replenished Override Buffers
Calculating Min-Max Buffers
Summary
CHAPTER 8
Buffer Adjustments
Recalculated Adjustments
Planned Adjustment Factors
Demand Adjustment Factor
Zone Adjustment Factor
Lead Time Adjustment Factor
Summary
CHAPTER 9
Demand Driven Planning
The Shift to Actual Demand
The Net Flow Equation
Qualifying Order Spikes
Supply Order Generation Based on Net Flow Position
Simulating DDMRP Supply Order Generation
Calculating Average On-Hand Inventory
Average On-Hand Range
Average On-Hand Target
Average Open Supply Orders
Decoupled Explosion
Hybrid Model Supply Order Generation
Prioritized Share Supply Order Consideration
Discount Optimization
Freight Optimization
Coverage Optimization
Min-Max Supply Order Generation
Completing the Company ABC Example
Summary
CHAPTER 10
Demand Driven Execution
Buffer Status Alerts
Challenging Priority by Due Date
Planning Versus Execution Display