The document discusses forecasting, planning, and scheduling for manufacturing excellence. It covers qualitative and quantitative forecasting methods used during different stages of a product's life cycle. Qualitative methods include executive opinion, Delphi method, and consumer surveys. The document also discusses relationships between aggregate production planning, master production scheduling, materials requirements planning (MRP), and detailed work schedules. It outlines factors for choosing a scheduling method and different priority rules for dispatching jobs. Benefits of MRP include increased customer satisfaction, faster response to changes, better utilization, reduced inventory levels, and improved planning. Distribution resource planning (DRP) requires sales forecasts, minimum inventory levels, accurate lead times, and distribution structure definition.

1. Forecasting, Planning and Scheduling Superfactory Excellence Program™ www.superfactory.com

3. Strategy and Issues During a Product’s Life Introduction Growth Maturity Decline Standardization Less rapid product changes - more minor changes Optimum capacity Increasing stability of process Long production runs Product improvement and cost cutting Little product differentiation Cost minimization Over capacity in the industry Prune line to eliminate items not returning good margin Reduce capacity Forecasting critical Product and process reliability Competitive product improvements and options Increase capacity Shift toward product focused Enhance distribution Product design and development critical Frequent product and process design changes Short production runs High production costs Limited models Attention to quality Best period to increase market share R&D product engineering critical Practical to change price or quality image Strengthen niche Cost control critical Poor time to change image, price, or quality Competitive costs become critical Defend market position OM Strategy/Issues Company Strategy/Issues HDTV CD-ROM Color copiers Drive-thru restaurants Fax machines Station wagons Sales 3 1/2” Floppy disks Internet

6. Relationships of the Aggregate Plan Aggregate Plan for Production Demand Forecasts, orders Master Production Schedule, and MRP systems Detailed Work Schedules External Capacity Subcontractors Inventory On Hand Raw Materials Available Work Force Product Decisions Process Planning & Capacity Decisions Marketplace and Demand Research and Technology

9. Inputs to the Production Plan Aggregate Production Plan Marketing Customer Demand Engineering Design Completion Management Return on Investment Capital Human Resources Manpower Planning Procurement Supplier Performance Finance Cash Flow Production Capacity Inventory