DYNAMIC BUFFER SCHEDULE
Demand Driven Capacity
Scheduling and Execution
Chad Smith
Partner, Demand Driven Institute
Co-Author Orlicky’s Material Requirement Planning 3/E
Co-Author Demand Driven Performance – Using Smart Metrics
All material and © copyright Demand Driven Institute 2013, all rights reserved
Planning and Scheduling is Harder Than Ever
•
•
•
•
The Manufacturing and Supply Chain landscape is more volatile than ever – the bullwhip is alive and well in today’s environment
Customer Tolerance Times have decreased substantially relative to the time it takes to procure, manufacture and distribute items
Product variety, options and complexity has put tremendous pressure on planning and scheduling systems
FLOW is the critical link between service, asset utilization and ROI
All material and © copyright Demand Driven Institute 2013, all rights reserved
The Demand Driven Operating Method
• The protection of FLOW is paramount
• ROI is directly proportionate to the speed of flow of relevant materials and information
• Demand Driven operating methods seek to protect the flow of both relevant information and materials All material and © copyright Demand Driven Institute 2013, all rights reserved
DDMRP and Capacity Scheduling
• DDMRP has Implications for Capacity Scheduling
• Advanced Session Webinars
• Download the paper on DDMRP Master Scheduling for more information
All material and © copyright Demand Driven Institute 2013, all rights reserved
DDMRP Scheduling Basics
DDMRP uses buffered “Decoupling
Points” to establish independent planned and scheduled horizons.
DDMRP creates resupply signals based on the “available stock” status of each buffer. This gives prioritized sequence based on actual need.
On-the-floor priority is then determined by the real time buffer status of the decoupling points that the open orders are feeding.
When Will we Need More Scheduling
Capability?
• When the use of better shop floor scheduling will compress lead times and reduce variability so
that
Scheduling and Execution
Chad Smith
Partner, Demand Driven Institute
Co-Author Orlicky’s Material Requirement Planning 3/E
Co-Author Demand Driven Performance – Using Smart Metrics
All material and © copyright Demand Driven Institute 2013, all rights reserved
Planning and Scheduling is Harder Than Ever
•
•
•
•
The Manufacturing and Supply Chain landscape is more volatile than ever – the bullwhip is alive and well in today’s environment
Customer Tolerance Times have decreased substantially relative to the time it takes to procure, manufacture and distribute items
Product variety, options and complexity has put tremendous pressure on planning and scheduling systems
FLOW is the critical link between service, asset utilization and ROI
All material and © copyright Demand Driven Institute 2013, all rights reserved
The Demand Driven Operating Method
• The protection of FLOW is paramount
• ROI is directly proportionate to the speed of flow of relevant materials and information
• Demand Driven operating methods seek to protect the flow of both relevant information and materials All material and © copyright Demand Driven Institute 2013, all rights reserved
DDMRP and Capacity Scheduling
• DDMRP has Implications for Capacity Scheduling
• Advanced Session Webinars
• Download the paper on DDMRP Master Scheduling for more information
All material and © copyright Demand Driven Institute 2013, all rights reserved
DDMRP Scheduling Basics
DDMRP uses buffered “Decoupling
Points” to establish independent planned and scheduled horizons.
DDMRP creates resupply signals based on the “available stock” status of each buffer. This gives prioritized sequence based on actual need.
On-the-floor priority is then determined by the real time buffer status of the decoupling points that the open orders are feeding.
When Will we Need More Scheduling
Capability?
• When the use of better shop floor scheduling will compress lead times and reduce variability so
that