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MRP Simulation Model

CMC's Materials Requirements Planning (MRP) simulation model is a proprietary supply chain risk management tool used in liability mitigation engagements. It shows how the contract manufacturer's MRP system should have managed raw materials inventory and vendor orders to support client product-level orders and forecast changes.

Model data include client's rolling forecasts, bills of materials, actual demand, shipments and component lead-times. The model incorporates inventory management algorithms based on common industry practices, including timely buyer corrective actions in response to computer-based MRP generated messages. Consideration is given to the contract manufacturer for periods of parts supply shortages and for volatility of client forecasts.

 

   
 
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