The OSP
software is designed with modules and user interface for modeling the demand and supply planning process
and analyzing the customer demand to determine optimum strategic plans.
The MS-Access database OSP.MDB contains the tables used in this modeling
and analysis.
The
Database
module
provides the procedures to model customer demand and the manufacturing
chain. It creates and maintains the tables for customer orders, sales
forecasts and manufacturing chain information, such as processes, products,
functions, machine types, product constructions, standards, and available
resources at each process.
The
Demand Planning
module
provides the procedures for maintaining the customer demand plans that are
set up in the Database module. These plans includes customer orders,
demand history from past shipment records, and sales or demand forecasts.
The demand forecasts can be user-generated or generated using a statistical
forecasting method provided in the module.
The
Supply
Planning module provides the
procedures to analyze customer orders and demand forecasts
to determine if schedules and production plans are feasible for each
planning period. Analysis will indicate processes where production
bottlenecks and product shortfalls occur, and the impact the schedule and
production plans will have on company resources such as
materials, machine utilization, direct labor,
variable costs, and variable margins.
The
Optimized Strategic Planning module provides the
procedures for determining optimum strategic plans. Optimum plans are
demand and
supply plans with maximized or minimized objective functions based on the
customer demand, constraints on manufacturing resources, and other
user-defined constraints across the manufacturing chain. These user-defined
constraints are items such as available machine capacities at each
process, and restrictions on products loaded on specific machine types at
each process.
The
Replenishment Planning module provides the procedures for
replenishment orders after optimum schedules have been determined.
Replenishment is initiated at the marketing level through the submission of
an optimized forecast of demand by product to the manufacturing team. The
forecasts and orders have been consolidated and analyzed to assess projected
supply/demand balance. They are based on both optimized data and
market intelligence. With these forecasts of demand, replenishment orders
are determined based on on-hand inventory, on order items, back order items,
and the desired safety stock level. The replenishment cycle can be done
weekly or monthly.
A demonstration model of a hypothetical manufacturer is available on CDs to
interested companies. .