Saturday, September 7, 2019
Operations Management as an integral component of a manufacturing Essay
Operations Management as an integral component of a manufacturing industry - Essay Example MRP ensures that there is just about enough materials available for production. If this planning is not efficiently done, there is the likelihood of either finding oneself in a situation where the materials for production is less than required leading to disruption in production or having too much of materials resulting in wasteful spending. MRP has evolved with the computer technology. Its full potential embracing all aspects is prevalent in data base software and there is tremendous scope for utilization of all the heads and sub-heads for the purpose of manufacture of unique and desirable product. It operates on the basis of a master schedule and develops the requirement for materials. The software is programmed to procure different materials for a product. MRP has to be tuned to production planning. Otherwise there will be mismatch in procurement. Normally, MRP through the use of computer is good for mass production where the volume of manufacture is high. Production planning is a part of the master schedule and sees through the MRP. It is an input to capacity plan. The MRP software is complex and so the user has to be provided training so that he is in a position to apply his knowledge in the use the software to the actual requirement of the organization. He must be capable of understanding the software to maximize its use so that the computer is not seen as something that only produces reports with information of non-relevance and disuse. Once the details in the customers' orders are fed into the integrated database, the system checks the schedule as against the current capacity. If the inputs of the materials requirement exceed current capacity, it provides the alternatives for increasing capacity or creating adjustments in the master schedule. The process of MRP must suit its environment to optimize production. In other words, business adapts MRP to suit the market. The computerized version of MRP is complex and is designed to cater to high volumes (Material Requirement Planning MRP). While on the subject, it is necessary to gauge the break-even point with MRP. There are several ways of analyzing the break-even point. Costs and sales forecast analysis is one of them (Decision Making). Total Quality Management (TQM) Total Quality Management is that aspect of management where there is awareness of maintaining quality at every level. According to the International Organization for Standardization, "TQM is a management approach for an organization, centered
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