OSP is an optimization package developed by Scope, LLC for consolidating and analyzing customer orders and demand forecasts to determine the optimum demand/supply balance before issuing master schedules and production plans. 

The proposed optimum plans are designed with strategies to optimize the business objective of improving profitability and productivity by maximizing company profit and productivity according to the objective set by the user. They not only determine if current schedules and production plans are feasible, they also indicate which combination of products are feasible to produce and sell as the most profitable and productive for the company.  In other words, these plans show the impact or effects on profitability and productivity of accepting customer orders and demand forecasts and propose optimum alternatives.  A periodic review jointly by marketing and manufacturing management is necessary to compare them against current plans so that corrective action can be taken as needed.

The Optimum Demand Plans  use existing customer order and the demand forecast as its basis and allows the user to make accurate customer demand predictions, utilize historical product performance, manage inventory replenishment with forecasting, and see how price changes affect product gross margins.  These plans are used by sales and marketing management to direct their sales efforts.  

The Optimum Supply Plans are used by manufacturing to determine the material, machine and other resource requirements and set production and inventory levels for the master production schedule.  Replenishment orders are determined based on the optimized demand forecasts, on-hand inventory, on order items, back order items, and the desired safety stock level; and submitted to manufacturing for the master scheduling and production planning process. The replenishment cycle can be done weekly or monthly.

The optimization techniques used are based on the Simplex Method from Linear Programming and the Hungarian Method for assignment problems. These techniques are implemented in subroutines that are used in generating optimum demand and supply plans.