MASTER PRODUCTION SCHEDULE
The Master Production Schedule (MPS) is a
plan for the production of individual end items. It must match demand for the
product in total, but it is not a forecast of demand. The MPS must be
realistic. It must be achievable and reflect a balance between required and
available capacity. The MPS is the meeting ground for sales and production. It
provides a plan from which realistic delivery promises can be made to
customers. If adjustments have to be made in deliveries or the booking of
orders, they are done through MPS.
The objectives in developing an MPS are:
- To maintain the desired level of customer services by maintaining finished-goods inventory levels or by scheduling to meet customer delivery requirements.
- To make the best use of material, labor, and equipment
- To maintain inventory investment at the required levels
To reach these objectives, the plan must
satisfy customer demand, be within the capacity of manufacturing, and be within
the guidelines of the production plan. These are the three steps in preparing
an MPS
- Develop a preliminary MPS
- Check the preliminary MPS
against available capacity
- Resolves differences between the preliminary MPS and capacity availability
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