Digital Library of the European Council for Modelling and Simulation

Title:	Evidence Of The Relevance Of Master Production Scheduling For Hierarchical Production Planning
Authors:	Thorsten Vitzthum, Frank Herrmann
Published in:	(2017).ECMS 2017 Proceedings Edited by: Zita Zoltay Paprika, Péter Horák, Kata Váradi, Péter Tamás Zwierczyk, Ágnes Vidovics-Dancs, János Péter Rádics European Council for Modeling and Simulation. doi:10.7148/2017 ISBN: 978-0-9932440-4-9/ ISBN: 978-0-9932440-5-6 (CD) 31st European Conference on Modelling and Simulation, Budapest, Hungary, May 23^rd – May 26^th, 2017
Citation format:	Thorsten Vitzthum, Frank Herrmann (2017). Evidence Of The Relevance Of Master Production Scheduling For Hierarchical Production Planning, ECMS 2017 Proceedings Edited by: Zita Zoltay Paprika, Péter Horák, Kata Váradi, Péter Tamás Zwierczyk, Ágnes Vidovics-Dancs, János Péter Rádics European Council for Modeling and Simulation. doi: 10.7148/2017-0475 https://doi.org/10.7148/2017-0475
DOI:	https://doi.org/10.7148/2017-0475
Abstract:	This paper deals with the significance of master production scheduling for hierarchical production planning. Production planning in a typical manufacturing organization is a sequence of complex decisions which depends on a number of factors, such as number of products, complexity of products, number of production sites, and number of work centres in each production site. The main idea in hierarchical production planning is to break down larger problems into smaller, more manageable sub problems. Starting with aggregate production planning, the benefits of using master production scheduling for material requirements planning will be conveyed. The main benefit of master production scheduling is more detailed planning. The production groups are thereby disaggregated into final products and the production site disaggregated into work centres. In order to plan capacities, resource profiles are used. By working with resource profiles production lead time data are taken into account to provide time-phased projections of the capacity requirements for each work centre (Vollmann et al. 2005). The case study will show that more accurate planning and consideration of production lead time through master production scheduling results in a demand program that can be realized without shortages or delays.
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