ERP Service Module – Call Handling and Service Orders Control
February 12, 2025
The Effect of Two Decades of Profligate Spending Everyone expects the global economy to recover in a magical way and for the good times to return. We are constantly fed on a steady barrage of feel good messages from the marketers about the goods and services they make and sell with the intention of making […]
The purpose of measurement system is to validate the measurements before they are considered as factual data and used as a basis for decision making. Any experienced Six Sigma executive knows the reality that the measurement system is nowhere nearly as good as you think it is. People who conduct the measurement system analysis for […]
Canadian Prime Minister Justin Trudeau is often seen criticizing American President Donald Trump for his protectionist trade policies. Trudeau has openly criticized the Americans and Trump in particular for breaking up the NAFTA and for pulling out of the Paris Accord. Trudeau also wants to project Canada’s image as a country wherein immigrants are welcome. […]
America is sitting on a demographic time bomb. Their economy boomed thanks to the “baby boomers” that brought prosperity to the nation. However, they have got old and now is the time for them to retire and be replaced by a younger generation. The problem is that the number of people retiring is far more […]
Flat World? The famous cheerleader of globalization, Thomas Friedman, characterizes the global economy as a “flat world” where anyone can reap the benefits of the many opportunities that are provided by globalization because there are no “barriers” anymore with the advent of the internet. The basic premise is that anyone from anywhere can use the […]
Order based Planning: Order-based planning is the functionality that plans planned orders to cover components and end items. This functionality largely corresponds to Materials Requirement Planning (MRP) and uses BOMs (Bill of Materials) to explode material requirements and the routings to calculate lead-time of planned production orders.
A combined overview of order based planning and master based planning
If order horizon is set to zero, the system plans supply through master based planning only. If order horizon is equal to planning horizon, the system plans all supply through order based planning
Order Promising - ATP & CTP: Demand forecasts are gradually consumed by actual customer orders. The calculated item quantity that is available (to sell or consume) on a certain future date, based on the current supply planning is known as Available to promise (ATP). ATP is an indicator of inventory availability that is specifically geared to the process of order acceptance. ATP may be for one period or may be cumulative over a number of periods. When it comes to accepting customer orders, a plan period’s cumulative ATP is a clear indicator of the order quantity that can still be promised to deliver in that plan period.
The functionality behind the notion of cumulative ATP is further enhanced by Enterprise Planning’s extended capable-to-promise (CTP) checking techniques. These techniques not only consider what can be promised on the basis of the planned supply, but also explore the possibility of producing more than what the current supply planning indicates. There are various dimensions of checking CTP such as:
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