Finite Capacity Material Requirement Planning System for a Three-Stage Supply Chain Under Manufacturer-Managed Scheduling Concept

Abstract

Supply chain management (SCM) is critical to the success of manufacturing industries. Advanced production planning and scheduling functions capable of coping with activities in a supply chain (SC) are presently needed. A finite capacity material requirement planning (FCMRP) system for a three-stage SC, defined as “3-SC FCMRP,” is presented herein. The system aims to generate feasible production and transportation schedules for the SC based on the manufacturer-managed scheduling concept, which allows the main manufacturer to manage the production schedule by considering the finite capacities of the factory work centers, suppliers, as well as customers. The system is based on a modular design concept that allows each module to be modified easily and independently. Experimental results show that all subsystems have statistically significant effects on the total cost of the SC, and schedules generated by the 3-SC FCMRP system are more realistic than those generated by the FCMRP system for the single or two-stage SC.