Re: MRP300D

If a new order is entered in violation of lead times such that one or more
components would be past due at time of first MRP, then MRP will not plan
those components or their BOM children.  There is no BPCS report or inquiry
that rapidly tells us what is the longest cumulative lead time for any given
part.  You have to figure it out from existing BOM options, or do a
modification.  Thus it is possible to have staff in ignorance of cumulative
lead time, and enter new orders in such a condition.

You may have situations where you know you have an order for an item to be
entered with a due date such that some components would be past due at time
of entry.  There are several ways to get around this BPCS rule.

1. You can have a company rule that this scenario is unacceptable until you
have discussed the implications with the customer, such as them paying
overtime charges, air express rush charges on raw materials, or delay some
other part of the same customer which shares the same raw materials.

2. Accept the order as if the BPCS rule did not exist, then study BOM &
manually release shop & purchase orders for the components that are logically
past due.  This runs the risk of missing something and/or causing shortages
for other customers & parts that share the same sub-components.  For example,
you miss a past due component but still make the past due sub-assemblies for
the lead time violated customer order.  This uses up some raw materials that
were ordered in time for a customer order that was made in time, and now MRP
discovers you have a shortage, and you are out of time to make up the
difference.

3. Accept the order;
Run MRP back dated like 2 months, or as much as is neccessary so that it will
plan everything, then run MRP with correct dating, so that it alters the
dates on the new requirements from this lead time violation order, as being
past due.  This is called "Using MRP to lie to the system."

4. Accept the order;
make the order due 2 months or so in the future, after the date you actually
promised it to the customer, run ordinary MRP so all components get planned
for wrong dates; correct customer order to due date promised; rerun MRP to
fix the dates.  This is called "Using ORD to lie to the system."

5. Accept the order;
change engineering data so lead times are not in violation; run MRP so
everything is all mucked up; reinstate correct lead times & hopefully not
miss any; run MRP again.  This is called "Using BOM to lie to the system."

Is nothing sacred?
Well I know how to use BPCS to embezzle, but I refuse to explain that to
anyone except if asked by bosses, auditors, or grand jury.

Just because I talk about these possibilities does not neccessarily mean that
I know anyone is doing it.  We have discussed pros & cons of various desires
by people to do things contrary to BPCS or ERP theory.  Sometimes there is a
management mandate NOT to lie to the system a CERTAIN WAY which can lead to
people lying to the system a different way to accomplish the same results.

MacWheel99@aol.com (Alister Wm Macintyre) (Al Mac)
BPCS 405 CD Manager / Programmer @ Global Wire Technologies Incorporated
http://www.globalwiretechnologies.com = new name same quality wire
engineering company: fax # 812-424-6838