Manufacturing Resource Planning.
The Thread
Use the Internet to search for at least 5 scholarly resources that relate to the topic and
have been published within the last 5 years. Find articles that discuss opposing views of
the topic or highlight problems in implementation and achieving above or below
expectations. Academic articles and journals must be reputable and obtained from
professional websites that address the content of this course. Popular magazines and
online sources such as Wikipedia are not permissible.
After reading the articles, select 1 article relating to the topic and address its purpose,
analysis, conclusions and recommendations. If the formatting could be lost from the text
box, attach a Word file to your thread, and adhere to the following format:
1. Key Concept Explanation: Define the key topic by using a source other than the
textbook. Give a clear, concise overview of the essential elements relevant to
understanding the key topic. In addition, explain why you are interested in this
topic (e.g., academic curiosity, application to a current issue related to
employment, or any other professional rationale) (about 200 words).
2. Comparison: Compare your research with what you have studied during the
module/week in which the key topic/thread is assigned. Note differences or
commonalities about the key topic, providing evidence that you have extended
your understanding of this topic beyond the textbook readings. Hence the need to
find opposing/cautionary/beneficial perspectives in your research. This is an
opportunity for you to cite the additional articles you originally researched. Note:
All references must be used at some point in the body of your main submission
and replies. References without application to your narratives will be discounted.
This section must be at least 300 words.
3. Article Summary: In your own words, provide a clear and concise summary of
the article you selected. This section must be at least 200 words.
4. Application: Specifically state how the key topic has been applied to real-world
businesses or describe the potential the key topic must influence today’s
business world. Consider also the potential for overstating expectations. Your
application must possess a professional rationale that demonstrates the
significance of the key topic. This section must be at least 300 words.
5. Annotated Bibliography: Cite the articles you researched in current APA format.
An annotation must accompany each citation. Each annotation will consist of a
descriptive and evaluative paragraph that is at least 100 words. The annotations
are designed to help your classmates in their understanding of the topic. In
addition, provide a persistent link for each article.
The Replies
You will be required to write substantive replies to a minimum of 2 other classmates’
threads. Each reply must be a minimum of 500 words and include at least 2 scholarly
resources. Acceptable sources include the textbook, the Bible, outside scholarly articles,
etc.
Substantive replies, in contrast to perfunctory replies, add value to the forum, enhance
learning, and contain references to any new concepts or ideas presented.
The following suggestions will aid you in successfully composing substantive responses:
Compare/contrast the findings of others with your research. Demonstrate critical
thinking.
Compare how the findings of others relate/add to the concepts learned in the
required readings. Demonstrate critical thinking.
Share additional knowledge regarding the key topic that relates to the thread.
Demonstrate critical thinking.
BUSI 615
DISCUSSION ASSIGNMENT INSTRUCTIONS
You will complete 4 Discussions over the duration of this course. These Discussions will
cover the following topics:
Manufacturing Resource Planning
Enterprise Resource Planning
Logistics Information Systems
Implementation of a Logistics System
Each will be completed over a period of 2 Module: Weeks and will consist of 2 parts: the
initial thread and replies. The Discussions allow you the opportunity to apply what you have
learned from the assigned Learn material. Evidence of critical thinking through comparing
and contrasting evidence which highlights pitfalls, weaknesses in theory and application and
contextual relevancy is expected in both your main contribution and your replies to
colleagues.
Each Discussion will consist of the topic and at least 2 replies to 2 other classmates’ threads.
All posts must be written in current APA format in a substantive manner and must not
contain spelling and/or grammar errors.
The Thread
Use the Internet to search for at least 5 scholarly resources that relate to the topic and have
been published within the last 5 years. Find articles that discuss opposing views of the topic
or highlight problems in implementation and achieving above or below expectations.
Academic articles and journals must be reputable and obtained from professional websites
that address the content of this course. Popular magazines and online sources such as
Wikipedia are not permissible.
After reading the articles, select 1 article relating to the topic and address its purpose,
analysis, conclusions and recommendations. If the formatting could be lost from the text box,
attach a Word file to your thread, and adhere to the following format:
1. Key Concept Explanation: Define the key topic by using a source other than the
textbook. Give a clear, concise overview of the essential elements relevant to
understanding the key topic. In addition, explain why you are interested in this topic
(e.g., academic curiosity, application to a current issue related to employment, or any
other professional rationale) (about 200 words).
2. Comparison: Compare your research with what you have studied during the
module/week in which the key topic/thread is assigned. Note differences or
commonalities about the key topic, providing evidence that you have extended your
understanding of this topic beyond the textbook readings. Hence the need to find
opposing/cautionary/beneficial perspectives in your research. This is an opportunity
for you to cite the additional articles you originally researched. Note: All references
must be used at some point in the body of your main submission and replies.
References without application to your narratives will be discounted. This section
must be at least 300 words.
3. Article Summary: In your own words, provide a clear and concise summary of the
article you selected. This section must be at least 200 words.
BUSI 615
4. Application: Specifically state how the key topic has been applied to real-world
businesses or describe the potential the key topic must influence today’s business
world. Consider also the potential for overstating expectations. Your application must
possess a professional rationale that demonstrates the significance of the key topic.
This section must be at least 300 words.
5. Annotated Bibliography: Cite the articles you researched in current APA format. An
annotation must accompany each citation. Each annotation will consist of a
descriptive and evaluative paragraph that is at least 100 words. The annotations are
designed to help your classmates in their understanding of the topic. In addition,
provide a persistent link for each article.
The Replies
You will be required to write substantive replies to a minimum of 2 other classmates’ threads.
Each reply must be a minimum of 500 words and include at least 2 scholarly resources.
Acceptable sources include the textbook, the Bible, outside scholarly articles, etc.
Substantive replies, in contrast to perfunctory replies, add value to the forum, enhance
learning, and contain references to any new concepts or ideas presented.
The following suggestions will aid you in successfully composing substantive responses:
Compare/contrast the findings of others with your research. Demonstrate critical
thinking.
Compare how the findings of others relate/add to the concepts learned in the required
readings. Demonstrate critical thinking.
Share additional knowledge regarding the key topic that relates to the thread.
Demonstrate critical thinking.
Plagiarism will not be tolerated. Review your posts and the Student Expectations prior to
submission in order to ensure that your sources are properly cited.
If you need any assistance in writing, format, or persistent links, the Liberty University
Online Writing Center will be able to help you.
Submit your initial thread by 11:59 p.m. (ET) on Sunday of the assigned Module: Week and
your replies to colleagues by 11:59 p.m. (ET) on Sunday of the following Module: Week (the
Sunday reply deadline provides opportunity for further interaction to your replies – a growing
thread is evidence of increasing value to you and your colleagues through learning and
relevant critical engagement with the topic). In module 8, the deadline is Friday of that week.
Discussion: Manufacturing Lead Time
Wise
Discussion: Manufacturing Lead Time
Key Concept Explanation
In a manufacturing setting, manufacturing lead time is the total time required to produce
an output, then deliver the output to the customer (Torres-Palacio, 2020). This period of time
includes the initial receipt of all raw materials, as well as the time required to deliver the final
product (Torres-Palacio, 2020). Therefore, manufacturing lead times are dynamic, constantly
influenced by the management practices of an organization, the set up and structure of
equipment, and the availability of raw materials and labor (Kumar, & Aouam, 2018). Regardless
of industry, organizations must pursue effective strategies to reduce overall manufacturing lead
times, so that products may be delivered quickly and efficiently to customers.
The recent disruption of global supply chain networks created a significant increase in the
lead time associated with products I use every day, and require to fulfill my job functions. As
lead times became inflated, the time frames and project lifecycles at my organization were
extended. The sudden increase in manufacturing lead times developed my genuine interest in
further understanding the concept. Particularly, what factors have the greatest negative effects on
manufacturing lead times, how supply chain networks can mitigate these disruptions, and the
relationship between lean manufacturing and manufacturing lead time reduction.
Comparison
Throughout the textbook and scholarly articles available, several key similarities and
distinctions have become apparent. In terms of similarity, the greatest similarities pertain to the
length of time that defines manufacturing lead times. The textbook defines manufacturing lead
times as “the total time required to manufacture an item, exclusive of lower-level purchasing
lead time” (Liberty University Custom, 2019, p. 39). This definition reflects the definition found
in scholarly articles, as manufacturing lead times are integrally connected to project lifecycles
and projected timespans. These lifecycles include the time necessary to receive orders, input raw
materials into the production process, and finally the time required to deliver outputs to the
customer (Torres-Palacio, 2020). While very similar, these definitions can be made distinct when
applying different business models to the concept of manufacturing lead times (Liberty
University Custom, 2019). Make-to-order inventories often inherit more lengthy manufacturing
lead times, because the time required to ship and deliver the products to the customer are
included in make-to-order inventories (Liberty University Custom, 2019). In contrast, make-to-
stock products do not account for their delivery times in the manufacturing lead times (Liberty
University Custom, 2019). The distinction between the lead times associated with different
product types illustrates the lack of consistency for lead times across different products, as well
as organizations (Rahdar, Wang, & Hu, 2018).
Expressed widely throughout the available literature, manufacturing lead times are
dynamic and reflect the health and structure of individual supply chain networks. As
organizations become more widely connected, able to source required raw materials from
various, reputable suppliers, their manufacturing lead times are reduced (Rahdar, Wang, & Hu,
2018). In addition to the relationships an organization has established, an organization’s
structure and commitment to lean management principles have dramatic effects on a product’s
manufacturing lead time. Focus on the elements and principles found in lean management theory
serves to streamline equipment setup, drastically improving the lead time associated with
production (Nawanir, Lim, Ramayah, Mahmud, Lee, & Maarof, 2020). These effects are easily
observed when comparing the lead times between competitors. Particularly, when competitors
implement opposing production philosophies.
Article Summary
Kumar & Aouam (2018), conducted research to examine the various effects of batch
sizing, equipment set up times, and the overall equipment utilization on reducing the
manufacturing lead time of an organization. In order to simplify the theoretical problem, the
paper examines a distribution network consisting of a single manufacturer. Limiting the
experiment to a single manufacturer allows for the isolation of variables, as set up times,
inventory stock locations, and batch sizing can all be independently isolated, then studied.
The value derived from the experiment is the reduction of set up time, as batch size and
stock locations are integrated. When batch sizes were increased, the safety stock locations of
inventory were pushed downstream. Thus, eliminating the need for production managers to hold
unnecessary inventory during the earlier stages of production. Therefore, increasing the
equipment set up efficiency, as larger batches can be processed. These larger batches reduce the
time needed for equipment set up, which results in a reduced manufacturing lead time for the
manufacturer. The reduction in lead time is consistent with the application of lean management,
and integral for JIT production. In addition, the shorter set up times also serve to reduce product
lifecycle variability. In doing so, manufacturing lead times can be more accurately predicted,
providing greater value to the manufacturer and consumers alike.
Application
The greatest value manufacturing lead times offer is the ability to assess and observe the
efficiency of an organization’s manufacturing process. Utilizing manufacturing lead times as a
key performance indicator, organizations can assess the efficiency of their production processes
in relation to their competitors. Organizations who exhibit excessive lead times can address their
inefficiencies by implementing Lean/JIT strategies, synchronizing their supply chain operations,
promoting efficient production processes. Without synergy, or effectively implemented lean
manufacturing practices, organizations will experience unnecessarily long manufacturing lead
times (Nawanir, et al., 2020).
In a manufacturing setting, lead time coordination allows for product managers to
estimate and control project lifecycle, using the lead time estimates of preceding events to
schedule the set up and initiation of later events (Missbauer, 2020). Coordinating the various
activities of production can be used to coordinate and predict manufacturing lead times
(Missbauer, 2020). Rather than await the completion of upstream activities, idle equipment and
employees can begin setting up and preparing for later production activities. Thus, reducing the
time lost from an unorganized and disjointed production release schedule. A real-life application
of this practice can be seen in the production of testosterone products at Teva Pharmaceuticals.
Teva produces various testosterone products, distinguished by their dosage strength and
delivery types. However, each product uses the same equipment and starting materials to
produce various strengths of intermediates. Rather than await the release and delivery of each
product to begin production of outstanding orders, Teva is able to reduce manufacturing lead
times by successfully coordinating the production of each testosterone order consecutively. This
requires upstream employees to provide production planners with accurate lead time estimates.
Then the production planner can schedule the production of similar products simultaneously,
reducing the need to tear down or set up new equipment. This continuous production reduces the
overall lead time of each lot, ensuring equipment and workers are not left needlessly idle, and
preventing time lost due to duplicate equipment set up. The coordination of production to reduce
lead times requires Teva to adhere to the principles of Lean management, but offers significant
competitive advantage over competitors with no coordinated production processes.
Annotated Bibliography
Kumar, K., & Aouam, T. (2018). Effect of setup time reduction on supply chain safety
stocks. Journal of Manufacturing Systems, 49, 1–15.
https://doi.org/10.1016/j.jmsy.2018.08.001
The cited work provides key insights and information about the effect equipment set up has on
inventory supply stocks, and the overall manufacturing lead time of a production process. As
production managers successfully coordinate equipment set up, through the manipulation of
batch size and order timing, work in progress inventory and safety stocks are pushed down the
production process. Thus, eliminating the need for production mangers to store excess inventory
in the early stages of the production process. If safety stocks can be pushed beyond the rate
limiting step, then manufacturing lead times will be optimized. Preventing the waste cause by
contributing excess time and resources to compiling inventory at the rate limiting step.
Missbauer, H. (2020). Order release planning by iterative simulation and linear programming:
Theoretical foundation and analysis of its shortcomings. European Journal of
Operational Research, 280(2), 495–507. https://doi.org/10.1016/j.ejor.2019.07.030
When orders are received for production, wise and adept production managers can decrease
overall lead times by coordinating production linearly. In order to coordinate production linearly,
the estimated manufacturing lead times influence the schedule for ongoing production events.
Equipment and employees are allocated according to this coordination, so that equipment is not
idle waiting for inputs, and employees are not wasting time setting up equipment when inputs are
ready to be processed. The coordination of each production event, based on its estimated lead
time, allows production managers to efficiently schedule new orders before the completion of in
process orders. Thereby, reducing further manufacturing lead times that occur from a
disorganized, nonlinear order schedule.
Nawanir, G., Lim, K. T., Ramayah, T., Mahmud, F., Lee, K. L., & Maarof, M. G. (2020).
Synergistic effect of lean practices on lead time reduction: mediating role of
manufacturing flexibility. Benchmarking: An International Journal, 27(5), 1815–1842.
https://doi.org/10.1108/BIJ-05-2019-0205
Manufacturing lead times in a healthy supply chain network are dynamic, dependent on the
influence of external variables, such as the supply chain network relationships themselves. In
order to reduce a supply chain’s overall variability, which improves manufacturing lead times,
the relationships of a supply chain network must be coordinated to develop synergy. Equipment
must be maintained to prevent unexpected repairs, raw material inventory must be maintained for
critical resources, and supplier relationships must be reliable. Strengthening the relationships
within a supply chain network reduces the overall variability and lead times of production, as
well as improves the supply chain’s flexibility and response to potential disruptions.
Rahdar, M., Wang, L., & Hu, G. (2018). A tri-level optimization model for inventory control
with uncertain demand and lead time. International Journal of Production
Economics, 195, 96–105. https://doi.org/10.1016/j.ijpe.2017.10.011
In a traditional manufacturing setting, orders suffer from two distinct sources of variability,
demand and lead time variability. The study aims to address both sources of variability,
developing a model production planners can use when ordering materials to reduce the total costs
associated with finished goods production. The model aims to integrate both demand and lead
time uncertainty. Therefore, establishing a connection to quantitate either’s effect on the total
cost of production, and how production affects the uncertainty of demand and lead times. The tri-
optimization model developed considers three unique perspectives, optimistic, moderate and
pessimistic time frames. Establishing the model to represent all three perspectives provides the
greatest possible scope for production managers to utilize.
Torres-Palacio, P. (2020). The reduction of production lead time using holonic manufacturing:
experiment and analysis. Journal of Manufacturing Technology Management, 31(3),
648–668. https://doi.org/10.1108/JMTM-03-2019-0097
The study observes the use of coordinated or holonic structures within an organization, as a
means of satisfying consumer demand for overall lead time reduction. Organized, holonic
manufacturing systems require team work and collaboration from a variety of employee groups
to function. However, the holonic manufacturing systems provide significantly reduced
manufacturing lead times, producing a tangible competitive advantage for organizations that
implement a holonic approach. In order to further the knowledge and research of holonic teams,
the study observed virtual teams of university participants. However, real life assessment is
needed to successfully determine the true benefits associated from implementing holonic
collaboration throughout production.
References
Kumar, K., & Aouam, T. (2018). Effect of setup time reduction on supply chain safety
stocks. Journal of Manufacturing Systems, 49, 1–15.
https://doi.org/10.1016/j.jmsy.2018.08.001
Liberty University Custom. (2019). Logistics (Custom ed.). New York, NY: McGraw Hill
Create. ISBN: 9781264141241.
Missbauer, H. (2020). Order release planning by iterative simulation and linear programming:
Theoretical foundation and analysis of its shortcomings. European Journal of
Operational Research, 280(2), 495–507. https://doi.org/10.1016/j.ejor.2019.07.030
Nawanir, G., Lim, K. T., Ramayah, T., Mahmud, F., Lee, K. L., & Maarof, M. G. (2020).
Synergistic effect of lean practices on lead time reduction: mediating role of
manufacturing flexibility. Benchmarking: An International Journal, 27(5), 1815–1842.
https://doi.org/10.1108/BIJ-05-2019-0205
Rahdar, M., Wang, L., & Hu, G. (2018). A tri-level optimization model for inventory control
with uncertain demand and lead time. International Journal of Production
Economics, 195, 96–105. https://doi.org/10.1016/j.ijpe.2017.10.011
Torres-Palacio, P. (2020). The reduction of production lead time using holonic manufacturing:
experiment and analysis. Journal of Manufacturing Technology Management, 31(3),
648–668. https://doi.org/10.1108/JMTM-03-2019-0097
MANUFACTURING RESOURCE PLANNING 1
Brenda L
MANUFACTURING RESOURCE PLANNING 2
Key Concept Explanation
Unique features of Demand driven material requirements planning (DDMRP) exists. The
features include different categories of parts, lead times planning approaches and dynamic
buffers. However, DDMRP starts with the basic MRP logic (Miclo et al., 2019). In other words,
within DDMRP is the concept of critical items and selective inventory positioning and
protection. Moreover, DDMRP focuses on the critical parts or strategic parts that are buffered
and ensures that the buffer protection integrity is constant over periods of time (Miclo et al.,
2019).
Over the last decade, practitioners and not academic researchers are primarily responsible
for DDMRP popularity due to its impact on performance (Miclo et al., 2019). Various
organizations reported significant levels of improvements that were reported in their material
production planning and scheduling process. As a result of these improvements, the research
team was interested in determining if DDMRP and the recent developments presented a
significant advance in material production planning and scheduling as compared to the more
widely used techniques of MRPII and Kanban/Lean (Miclo et al., 2019).
The researcher used a structured experimental design with data generated using discrete
event computer simulations that has a long history in operations management and supply chain
management (Miclo et al., 2019). This method allows the researcher to have full control over the
model and its performance and controls for potential confounding factors such as human
intervention (Miclo et al., 2019).
MANUFACTURING RESOURCE PLANNING 3
Comparison
Manufacturing planning and control changed when the approach for material planning or
material requirements planning (MRP) was introduced by Orlicky in 1974 (Miclo et al.,
2019). The benefits of MRP included improvements to the quality and effectiveness of the
organization’s planning and scheduling demands. Schedules were more credible by linking
component dates to parent items (Miclo et al., 2019). MRP along with various methods such as
closed loop MRP and MRPII had an increase of the research of the various operations and
impacts on the firm (Miclo et al., 2019).
A recent emergence from the practitioner users of MRP to rethink its logic that draws on
developments as Lean Systems and the Theory of Constraints (Miclo et al., 2019). The
rethinking has shifted to a new approach of Demand driven MRP (DDMRP). Thus, corporations
that have used DDMRP have touted significant improvements in their on-time delivery,
reductions in stockouts and inventory levels (Miclo et al., 2019). These claims along with the
rethinking of the underlying MRP logic was the catalyst for rigorous review and research
analysis that asks if DDMRP represent a significant improvement in planning and scheduling
logic (Miclo et al., 2019)?
Demand chain management is a supply chain inventory management approach that
concentrates on demand pull rather than supplier push inventory models (Liberty University
Custom, 2019, p. 6). The need for effective planning is severe and the impact is so significant to
businesses (Liberty University Custom, 2019, p. 7). Material requirement planning (MRP) is a
preferred technique to use when one item is a component on another and subject to dependent
demand (Liberty University Custom, 2019, p 7). MRP is “expressly designed for dealing with
dependent discontinuous, nonuniform demand which is characteristic of manufacturing.”
MANUFACTURING RESOURCE PLANNING 4
With today’s manufacturers and supply chains push and promote manufacturing has
become obsolete (Liberty University Custom, 2019, p 9). In addition, the method where
companies could use the past orders to forecast the future and build products is long lived. This
is partly due to product life cycles that have shorter life spans and the complexity of products
have risen (Liberty University Custom, 2019, p 9). Therefore, management needs a system and
approaches that enhances predictability and reliability (Liberty University Custom, 2019, p 9).
Article Summary
Due to the competitive nature of business, firms seek methods to produce quality
products and services that consumers want and need over its competitors. Businesses also seeks
ways to reduce cost, increase production and improve over all efficiency. Next, due to the
advancements in technology, markets have become borderless. For example, a consumer can
place an order for an item in one part of the country, and have it delivered from another part of
the country that was manufactured in another part of the country. To accomplish the complexity
and certainty of consumer demand, businesses need a system that provides both reliable and
useful data to fulfill consumer demands. Decision that each manager makes is accountable to all
stakeholders involved. Therefore, firms need the correct tools and resources to solve problems
and not just provide useless data.
Material resource planning (MRP) has been an industry standard that was introduced by
Orlicky in 1974. This innovation improved the organization’s planning and scheduling that
resulted in overall quality and effectiveness improvements. However, the practitioners and users
of MRP discovered the need to rethink its logic. The new approach of MRP is Demand driven
MRP (DDMRP). In fact, industry leaders provided favorable experiences with their uses for their
MANUFACTURING RESOURCE PLANNING 5
on-time deliveries, reductions in stockouts and inventory levels. New research has been
conducted to verify the overall benefits of DDMRP. However, MRP still remains an industry
leader in logic.
Application
The Egyptian market leader for steel is Ezz Steel which produces 5.8 million tons of
high-quality steel products per year divided among four steel-making facilities in Egypt
(ElKhouly et al., 2020). Ezz steel is used in the construction industry, consumer goods and
industrial products which comply with international quality standards (ElKhouly et al., 2020).
All Ezz Steel factories use the Oracle ERP application. The researcher’s focus in the case study
is to identify the impact of ERP systems on the supply chain performance (ElKhouly et al.,
2020).
The study proposed the following: key dimensions of ERP performance measurement in
the supply chain, relationship between ERP dimensions and supply chain performance in Ezz
Steel manufacturing and the degree of relationship between ERP dimensions and supply chain
performance in each plant (ElKhouly et al., 2020). The results of the study indicate industrial
businesses collect large sums of data from various sources. Hence, ERP is a system for
collecting, organizing, processing and analyzing data (ElKhouly et al., 2020). As a result, ERP
adds value and improves the supply chain performance. Strengths and weaknesses are
highlighted to compete in the competitive market (ElKhouly et al., 2020). In addition,
consumer’s behaviors can be predicted by analyzing sales and revenue reports.
Moreover, ERP aided Ezz Steel to shorten lead times, increase on-time deliveries and
enhance overall operation of the business (ElKhouly et al., 2020). The limitation of the study is
the researcher only analyzed the impact of ERP system on supply chain performance in Ezz
MANUFACTURING RESOURCE PLANNING 6
Steel. This study also supports the benefits of ERP that includes day-to-day business support,
operations and decision-making processes (Ruivo et al., 2017). ERP is also associated with
improving a firm’s overall business process to improve efficiency (Ruivo et al., 2017).
Annotated Bibliography
ElKhouly, S. E., Ali, H. F., & Yehia, E. A. (2020). The impact of enterprise resource planning
(ERP) system on supply chain performance: Case study on Ezz Steel Group. Competition
Forum, 18(1), 131-147. DOI:10.5171/2011.210664
Efficiency, innovativeness, competitiveness and sustainability are business goals. The
measurement of supply chain (SC) performance is also a benefit to businesses. Enterprise
resource planning (ERP) systems are methods that can measure SC performance. This
study seeks to measure the impact of ERP on SC performance. Supply chains are
continuing to become complex with the management of sourcing, manufacturing,
engineering and distribution operations spread globally. ERP is a solution to this
dilemma.
The impact of ERP systems on supply chain performance is under researched in the steel
manufacturing industry and Ezz Steel in Egypt is used as a case study to determine how
ERP as a three-dimensional construct affects the performance of supply chains within the
steel manufacturing industry.
MANUFACTURING RESOURCE PLANNING 7
Khaleel, Y. K., & Alkhaldi, A. N. (2017). Enterprise resource planning (ERP) model for small
and medium sized manufacturing firms based on UML. International Journal of
Information, Business and Management, 9(3), 41-62. DOI:10.4018/978-1-60566-090-
5.ch023
Small and medium businesses experience the benefits of Enterprise Resource Planning
(ERP). The methods of ERP cannot be treated the same for both large scale and small and
medium enterprises (SMEs). ERP is used to help organizations manage their resources
such as distribution, manufacturing and production planning. ERP can be used to help
improve the performance levels of a supply chain network with the reduction of cycle
times.
Vendors have developed solutions for SMEs regarding ERP. However, the investment of
time, money and effort has been costly for SMEs with no guarantee for success. Many
SMEs have used in-house ERP systems to develop specific system functions. Finally, the
researcher proposes a new approach to obtain ERP for SMEs. The system must be
simple, cheap, compact in size and easy to meet the needs to SMEs.
Lambert, S.L., Calvasina, R., Bee, S. and Woodworth, D. (2017), Assembly FG: An Educational
Case on MRP II Integrated within ERP. Account Perspect, 16: 43-62. https://doi-
org.ezproxy.liberty.edu/10.1111/1911-3838.12136
Case studies are provided to teach students how manufacturing companies use
manufacturing resource planning (MRPII) within Enterprise Resource Planning (ERP)
with Microsoft Excel. Students explain the benefits of MRPII and the practical
MANUFACTURING RESOURCE PLANNING 8
application features when used within the ERP system. Students also can explain why
BOM, inventory, and lead-time inaccuracies can adversely affect the accuracy of MRP II.
The case study provided insights with shortages for some materials while excess
inventory with other materials. The shortages caused work stoppages. The excess
inventory is causing high inventory carrying costs and shortages are causing costly
production delays. The firm was introduced to MRPII integrated within an ERP system to
improve efficiency, reduce inventories, and prevent inventory shortages.
Liberty University Custom. (2019). Logistics (Custom ed.). New York, NY: McGraw Hill Create
Miclo, R., Lauras, M., Fontanili, F.,Lamothe, J., & Melnyk, S. (2019). Demand Driven MRP:
assessment of a new approach to materials management, International Journal of
Production Research, 57:1, 166-181, DOI: 10.1080/00207543.2018.1464230
Demand driven material requirements planning (DDMRP) has been developed and
implemented from the practitioner field. DDMRP challenges the logic of MRP. These
new features are drawn from Lean Systems and the Theory of Constraints that features
dynamic buffers. Firms have claimed that DDMRP represents a better process that the
traditional MRP process. The researcher examined the effectiveness of DDMRP through
two approaches MRPII and Kaban/Lean production.
Rethinking of MRP logic is a result of developments of Lean Systems and the Theory of
Constraints. Companies such as Allergan, British Telecom, Figeac Aero and Michelin
have claimed significant improvements in on-time delivery, reducing stock outs, and
MANUFACTURING RESOURCE PLANNING 9
inventory levels versus MRP. The research question is does DDMRP represent
significant improvements in planning and scheduling logic?
Ruivo, P., Oliveira, T., & Mestre, A. (2017). Enterprise resource planning and customer
relationship management value. Industrial Management & Data Systems, 117(8), 1612-
1631. http://dx.doi.org.ezproxy.liberty.edu/10.1108/IMDS-08-2016-0340
Enterprise resource planning (ERP) has been used globally for both small and medium
enterprises (SMEs) as well as multi-national corporations (MNCs). The benefits of ERP
include day-to-day business support, operations and decision-making processes
improvements. ERP is also associated with improving a firms overall business processes
to improve efficiency.
Customer Relationship Management (CRM) is a more recent process to solve
information exchanges among firms. CRM is the external part of the enterprise while
ERP is internal. The integration of CRM an ERP systems communicates automatically to
customers and process-related information to each other. Combined CRM and ERP
improves the entire organization’s responses to meet consumer demands.
The researcher investigates the impact of the combined ERP and CRM systems with
three hypotheses:
H1: Are ERP and CRM systems drivers of business value?
H2: Are systems and process integration drivers of business value?
MANUFACTURING RESOURCE PLANNING 10
H3: Do systems and processes integration work as moderators of ERP and CRM systems
in business value creation?
Running head: BUSINESS – MANUFACTURING RESOURCE PLANNING 1
Business – Manufacturing Resource Planning
Name
Institution
BUSINESS – MANUFACTURING RESOURCE PLANNING 2
1. Key Concept Explanation
Manufacturing Resource Planning is the effective planning method for all the resources
available in a manufacturing company (Hoang, Hildebrandt, & Fay, 2018). The technique mainly
addresses operational planning and financial planning in units and answers stimulation questions
such as "what if". Planning helps manufacturers to effectively plan for the use of their resources
and develop precise production schedules for the future to minimize costs while maximizing the
use of available resources at their disposal. The integrated information system also helps
management in the decision-making process by integrating, centralizing, and processing data
regarding the manufacturing process. Also, the process allows the management in making
accurate visualization of the inventory and scheduling process and designing engineering to
effectively employ cost control measures (Hoang, Hildebrandt, & Fay, 2018).
The essential elements relevant to understanding manufacturing resource planning include
manufacturing resource planning information sources, case studies and unavoidable problems
(Hoang, Hildebrandt, & Fay, 2018). MRP applies four types of information to determine what
needs to be ordered. The different types of information include material specs, production
schedules, supplier lead times and production cycle times. The data is applied to process flows
and adjust production machines. Also, case studies are relevant in MRP as most businesses
conduct research to obtain business intelligence and feedbacks from organizations with similar
MRP systems (Hoang, Hildebrandt, & Fay, 2018). Unavoidable problems are relevant to the
management. They must recognize both operational and technical issues through training,
support and sharing information. The main point of interest in manufacturing resource planning
is applying to a current issue related to employment. The knowledge obtained will help me to
BUSINESS – MANUFACTURING RESOURCE PLANNING 3
understand the company's overall performance and standardize manufacturing process and
human resource information.
2. Comparison
There are fundamental differences and commonalities between my research and what I have
learned throughout the week. For instance, in both studies, advanced planning and scheduling
software are effective for most businesses in modern-day manufacturing operations due to
increased customer demand for product mix and fast delivery of products and services (Hoang,
Hildebrandt, & Fay, 2018). The most important aspect of the method is its ability to integrate
different systems, making it easy for management to forecast and predict the performance and
utilization of the company's resources. Also, both studies support that manufacturing resource
planning helps minimize costs and maximize resource use in the industry. For instance, sales
forecasting helps the manufacturing management estimate the expected demand of a product to
have an adequate amount of raw materials and schedule for timely delivery. Besides, the system
includes collecting data from raw material purchase, planning, inventory management,
marketing, sales finance, and human resources, which are the most critical parts of the business
process.
However, despite the commonalities, there are critical differences between the research and
information obtained from the week's lessons. For instance, according to what I learned in the
lass, the system is easy to implement, and it is a must for all businesses to have an integrated
approach. On the other hand, according to research, manufacturing information systems are
ranked among the most complex systems to design, implement and maintain (Mahmud,
Ramayah, & Kurnia, 2017). Only a few strategies are entirely successful; thus, the system is
ineffective and easy to manage. Also, according to research, the manufacturing resource
BUSINESS – MANUFACTURING RESOURCE PLANNING 4
planning systems is not successful for all types of businesses, and some have not even
experienced it, such as banking and insurance companies (Mahmud, Ramayah, & Kurnia, 2017).
Unlike most companies, where transactions are independent, a transaction in manufacturing
systems results in more generated transactions.
3. Article Summary
The article I chose for research and discussion is "case study on manufacturing resource
planning implementation", published in March 2017 by Janakkumar Tanna and Ankur Vyas. The
article identifies a gap between the flexible manufacturing system and the manufacturing
resources planning and discusses various approaches for closing the gap. The modules for
production planning, business planning, material equipment planning, master production
scheduling, and capacity requirements planning have been integrated into a comprehensive
computer package for planning and manufacturing control (Tanna, & Vyas, 2017).
However, information technology plays a crucial role in implementing and designing
material requirements and planning systems. The technology is also effective in implementing
the processes required in manufacturing resource planning as it is linked to customer demand and
provides information about manufacturing requirements. The article states that material resource
planning is mainly used for material management during the production cycle of a manufacturing
company (Tanna, & Vyas, 2017). Besides, the article identifies the different files for
management resource planning, including bill of material, master production scheduling,
inventory status file, and inventory management, among other files (Tanna, & Vyas, 2017).
Moreover, the article discusses the three main activities of the MRP process which include,
master planning, detailed planning of material and capacity, and execution of plans (Tanna, &
BUSINESS – MANUFACTURING RESOURCE PLANNING 5
Vyas, 2017). However, despite the challenging task of implementing management resource
planning, the process effectively reduces lead time and saves time for manufacturing.
4. Application
Manufacturing Resource planning is mainly designed to improve productivity in
organizations. Manufacturers needed software that could integrate their account and forecast
inventory requirement systems. The system is used to schedule the delivery of raw materials
based on quantities given the assumption of labour and machine units required for the job
performance. Examples of Manufacturing Resource planning in the real world include IQMS,
fish bowl, factory edge, abas, prodmart, Epicor, and s2k enterprise. The system offers to
schedule master production, inventory tracking, bills of materials, and functionality with
marketing, logistics, and finance. Manufacturing Resource planning is widely used by
manufacturing companies to date and is found as stand-alone solutions or as part of an enterprise
resource planning system. The systems suites all applications in the manufacturing sector; thus,
they are effective in the production process. Most manufacturing companies in decision making
also use the system as it is integrated, centralized and process information related to
manufacturing.
However, in most cases, staff in the organization provide relevant information for the
system's effective functioning, including inventory, sales people, production, and procurement.
The inputs comprise customer orders, inventory records, BOM routings, and demand forecasts.
Therefore, the results of the systems are much extensive, accurate and sophisticated. Most
manufacturing companies implement the system because of its ability to balance supply and
demand appropriately. This is because the plan focuses on two main aspects of a business:
BUSINESS – MANUFACTURING RESOURCE PLANNING 6
resources and customers. The system analyzes a company's activities based on customer
demands and manages the resources through data and logic processing.
BUSINESS – MANUFACTURING RESOURCE PLANNING 7
5. Annotated Bibliography
References
Hoang, X. L., Hildebrandt, C., & Fay, A. (2018). Product-oriented description of
manufacturing resource skills. IFAC-PapersOnLine, 51(11), 90-95.
The article describes the effectiveness of manufacturing resource planning in most
manufacturing industries. According to the report, the approach aims at reducing time
and feasibility checks in production planning and helps in maximizing the use of
resources while minimizing costs. The article concludes that MRP is effective for
businesses, and most manufacturing companies have already applied the system to
balance their supply and demand. Moreover, it also outlines the essential elements of the
system.
Mahmud, I., Ramayah, T., & Kurnia, S. (2017). To use or not to use: Modelling end-user
grumbling as user resistance in the pre-implementation stage of enterprise resource
planning system. Information Systems, 69, 164-179.
The article outlines a survey conducted on the implementation of the MRP process and found
out that it is among the most complex systems. The report is relevant to my study because
most organizations' performance is crucial, and the methods and risks of implementation
are critical areas of study. Also, the article illustrates the significance of technology in the
system.
Tanna, J., & Vyas, A. (2017). Case Study on Manufacturing Resources Planning. Claro:
Journal of Engineering, 37.
Manufacturing Resource Planning
Thesis: Manufacturing Resource Planning article that discuss opposing views of the topic or
highlight problems in implementation and achieving above or below expectations.
1. Key Concept Explanation
A. Manufacturing Resource Planning is the effective planning method for all the resources
available in a manufacturing company.
B. The process allows the management in making accurate visualization of the inventory
and scheduling process and designing engineering to effectively employ cost control
measures.
C. The main point of interest in manufacturing resource planning is applying to a current
issue related to employment.
2. Comparison
A. In both studies, advanced planning and scheduling software are effective for most
businesses in modern-day manufacturing operations due to increased customer demand
for product mix and fast delivery of products and services.
B. Both studies support that manufacturing resource planning helps minimize costs and
maximize resource use in the industry.
3. Article Summary
A. The article I chose for research and discussion is "case study on manufacturing resource
planning implementation", published in March 2017 by Janakkumar Tanna and Ankur
Vyas.
B. The article identifies a gap between the flexible manufacturing system and the
manufacturing resources planning and discusses various approaches for closing the gap.
4. Application
A. The system is used to schedule the delivery of raw materials based on quantities given the
assumption of labour and machine units required for the job performance.
B. Manufacturing Resource planning is widely used by manufacturing companies to date
and is found as stand-alone solutions or as part of an enterprise resource planning system.
First Response – Brenda L
Key Concept Explanation
The central concept is material requirements planning which is different from the central
concept of discussion, material resource planning. The student discusses the unique features of
demand-driven material requirements planning. The features include categories of parts, lead
time planning approaches and dynamic buffers. DDMRP focuses on the critical and strategic
parts that are buffered and ensure constant buffer protection integrity over periods. On the other
hand, my article focuses on the importance of material resource planning, including addressing
both financial and operational planning and answering "what if" questions. Besides, Brenda's
article does not define the essential elements to understanding the key topic. In my case, the
essential elements include manufacturing resource planning information sources, unavoidable
problems and case studies. I am interested in material resource planning because the information
obtained will help me standardize the manufacturing process and human resource information,
and the company's overall performance. In the case of Brenda, the main reason for her interest in
material requirements planning is not mentioned.
Comparison
Brenda compares her research with what she has studied in the module over the week, but
she does not state key differences or similarities between research and coursework. However,
according to the article, manufacturing planning and control changed due to material
requirements planning and the approach for material planning introduced by Orlicky in 1974
(ElKhouly, Ali, & Yehia, 2020). The article also addresses the benefits of the change, including
improvement to the effectiveness and quality of scheduling and planning for the organization's
demand. On the other hand, there are key differences and similarities between what I have
learned in class and my research outlined in the article. For instance, significant similarity is the
effectiveness of scheduling and planning software in businesses. Besides, according to
classwork, a significant difference is that the material resource planning system is easy to
implement. The system is complex and not easy to design, maintain and implement (Hoang,
Hildebrandt, & Fay, 2018).
Article summary
Brenda does not summarise the article she has selected for discussion, and neither does
she mention the article, which is a requirement in the question. On the other hand, the article I
chose for discussion is a case study on manufacturing resource planning implementation",
published in March 2017 by Janakkumar Tanna and Ankur Vyas. The article's primary focus is
the difference between the flexible manufacturing system and the manufacturing resources
planning.
Application
In the application of material requirements planning, Brenda's article discusses the case
of the Egyptian Market leader for steel, Ezz Steel; the case study focuses on identifying the
impacts of ERP systems on the supply chain performance (ElKhouly, Ali, & Yehia, 2020).
However, in my article, I have outlined how manufacturing resource planning is applied to
improve effectiveness and productivity. For example, scheduling of delivery of raw materials,
used for decision making and used by manufacturing companies to balance between supply and
demand (Hoang, Hildebrandt, & Fay, 2018).
References
Hoang, X. L., Hildebrandt, C., & Fay, A. (2018). Product-oriented description of
manufacturing resource skills. IFAC-PapersOnLine, 51(11), 90-95.
ElKhouly, S. E., Ali, H. F., & Yehia, E. A. (2020). The impact of enterprise resource
planning (ERP) system on supply chain performance: Case study on Ezz Steel
Group. Competition Forum, 18(1), 131-147. DOI:10.5171/2011.210664
Response 2
Wise Article
Discussion: Manufacturing Lead Time
Key Concept Explanation
The critical concept explanation is manufacturing lead time which is the total time
required to produce an output and deliver it to the customer. On the other hand, the critical
concept explanation in my article is manufacturing resource planning which is the effective
planning method of planning for all the resources available in a manufacturing company.
Manufacturing lead time is significant in organizations to ensure quick and efficient delivery of
products to customers. Similarly, manufacturing resource planning is very important to provide
an effective balance between supply and demand. According to Wise’s research, the disruption
of global supply chain networks created an increase in the lead time for the products they use
every day, thus creating a genuine interest in understanding manufacturing lead time further.
However, the article does not outline the essential elements relevant to understanding the topic,
which is crucial. In my writing, I have outlined the essential elements for understanding
manufacturing resource planning: unavoidable problems, case studies, and information sources.
Comparison
Wise’s articles identify key similarities and differences available throughout classwork
and research. Similarity includes the length of time that defines manufacturing lead time. That is,
the definition is similar in both the textbooks and scholarly articles. The article also states
differences found in the effects of management principles on a product manufacturing lead time.
Similarly, my reports outline similarities and differences of the fundamental concept as described
in textbooks and research. For instance, in both studies, scheduling and planning software is
effective in businesses. One significant difference is that the books tell the system as easy; thus,
most organizations should implement it. According to research, the system is complex and not
easy to maintain and manage. The identified similarities and differences in both articles help the
student to understand in depth the key concepts.
Article summary
The article presents research conducted by Kumar & Aouam (2018) to examine the
effects of batch equipment set up times, sizing, and the overall utilization of the equipment in
reducing the manufacturing lead time ion a company (Kumar, & Aouam, 2018). The article
relates well to the critical concept because it experimentation of the theory part of the concept.
Similarly, my paper discusses a case study on manufacturing resource planning implementation,
which relates to the critical concept; thus, it effectively promotes a better understanding of the
central concept (Tanna, & Vyas, 2017).
Application
Wise’s article discusses the significance of manufacturing lead time to an organization.
For example, it offers the ability to observe and access the efficiency of the manufacturing
process in an organization. Similarly, in my article, I have discussed manufacturing resource
planning to improve an organization’s productivity. Application is significant as it illustrates the
application of the critical concepts in real-world business and its potential in enhancing the
possibility of an organization.
References
Kumar, K., & Aouam, T. (2018). Effect of setup time reduction on supply chain safety
stocks. Journal of Manufacturing Systems, 49, 1–15.
https://doi.org/10.1016/j.jmsy.2018.08.001
Tanna, J., & Vyas, A. (2017). Case Study on Manufacturing Resources Planning. Claro:
Journal of Engineering, 37.
