Operations Management: Processes and Supply Chains, 12th Edition

MRP Explosion

Having understood how an authorized MPS and other sources of independent demand create a time-phased statement of what is needed on a weekly basis, we next turn to exploring other inputs to the MRP system shown in Figure 11.1. These include the bills of materials and the information contained in inventory records, which in conjunction with the planning factors come together within the MRP logic to create the MRP explosion. The outputs of this explosion process and the reports that form the resultant material requirements plan are also described, along with the environments in which MRP works best.

Bill of Materials

The replenishment schedule for a component is determined from the production schedules of its parents. Hence, the system ...