Primarily due to rapid development of technology in the past thirty years, the market structure throughout the world has changed considerably. Local markets have become accessible to foreign manufacturers, who are able to perform well in their newly established territories in part due to their superior application of technology. In this light, most companies, including small and medium size, have embedded globalization in their expansion strategies, consistently seeking for new markets abroad. Consequently, local manufacturing companies are facing global competition, forcing them to adopt new concepts with respect to people, process and technologies. This document describes these approaches to production planning in detail as well outlines a software solution. The software solution (Production/3) combines both pull and push techniques and enables small to medium size organizations to fully automate their production system while retaining their investment in their legacy enterprise resource planning (ERP) systems.
hierarchy of production department
production control problem into hierarchy based on time scale and product aggregation, primarily by considering the capacity of manufacturing system. MRP II brings together many functions to generate a truly integrated manufacturing management system including demand management, forecasting, capacity planning, rough-cut capacity planning, dispatching and input/output control. Characteristics MRP provides a simple method of ordering materials based on needs, as established by a master production schedule