CAPACITY REQUIREMENTS PLANNING (CRP)

CAPACITY REQUIREMENTS PLANNING (CRP)

  00:38    Rahul R

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CAPACITY REQUIREMENTS PLANNING (CRP)

Capacity Requirements Planning (CRP) is the process of determining what personnel and equipment capacities (times) are needed to meet the production objectives embodied in the master schedule and the material requirements plan. MRP focuses upon the priorities of materials, whereas CRP focuses primarily upon time. Although both MRP and CRP can be done manually and in isolation, they are typically integrated within a computerized system, and CRP (as well as production activity control) functions are often assumed to be included within the concept of “an MRP system.” Computerized MRP systems can effectively manage the flow of thousands of components throughout a manufacturing facility.

Aggregate Planning and  Master scheduling

Aggregate Planning includes identifying different feasible production alternatives and selecting the best one in order to reduce the production cost to minimum.

Aggregate planning is the process of planning the quantity and timing of output over the intermediate range (often 3 to 18 months) by adjusting the production rate, employment, inventory, and other controllable variables. Aggregate planning links long-range and short-range planning activities.

Master scheduling

Master scheduling follows aggregate planning and expresses the overall plan in terms of the amounts of specific end items to produce and dates to produce them. It uses information from both forecasts and orders on hand, and it is the major control (driver) of all production activities.