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.
of customer service, while JIT seeks to minimize the cost of holding inventory and will typically suffer at least a minor negative effect on customer service. Production/3 System combines various aspects of push and pull control to drive down the cost of inventory, while maintaining a high level of customer service. As a result Production/3 builds on the strength of MRP II and JIT, while simultaneously provide control mechanism to effectively manage their deficiencies. Business Architecture As companies