DSP Detailed Course Information

1. Inventory Management: Order Planning

• Identify types of inventory and how they are assessed from their different requirements and impacts on the planning process
• Describe order review methodologies and apply them to different types of inventory and inventory strategies
• Identify lot sizing techniques, including the effects of order quantity constraints, and modifiers

2. Inventory Management: Customer Service

• Describe safety-stock processes used to support customer service strategies
• Describe the importance of inventory valuation and how it affects inventory investment
• Identify inventory accuracy methodologies used to improve and sustain part count and inventory investment accuracy

3. Information Used in the Material Planning Process

• Describe the difference between independent and dependent demand
• Describe how to calculate inventory performance such as inventory turns and customer service
• Identify the inventory data used to support the policies, methodologies, and techniques of the material planning process
• Identify the master schedule data necessary to initiate part-level planning
• Determine engineering data required for aggregate planning, ordering, safety stock, and engineering change processes
• Describe the importance of data accuracy, timeliness, and completeness.

4. MRP Mechanics: The Basics

• Identify the MRP record grid and its composition
• Identify the necessary starting conditions for the planning process
• Perform the netting process for an MRP record
• Perform the explosion process to develop a complete material plan
• Describe the concept of a rolling schedule and how it works
• Understand the need for and the use of low-level codes

5. Using MRP Outputs

• Describe how the MRP logic extends to time-phased order point and distribution requirements planning
• Identify the three MRP outputs: exception, action, and pegging reports
• Explain how MRP plans a purchase order and calculates the quantity and due date
• Explain how bottom-up replanning, expediting and de-expediting are used to reconcile demand and supply mismatches
• Explain how to use firm planned orders and pegging to manage a material plan
• Describe how planning parameters such as lead times, lot sizes, safety stocks, and safety lead times affect MRP results
• Identify MRP displays and shop planning calendars
• Describe how to use what-if analysis to introduce simulation to solve today's problems and confront future scenarios
• Describe how MRP deals with scrap and yield
• Explain how MRP interacts with other systems in the manufacturing resources planning environment

6. The Detailed Capacity Planning Process

• Describe detailed planning as an intermediate level of capacity planning
• Understand how the manufacturing environment determines the choice of a specific planning technique and the kind of information required
• Describe how work center and routing data is used to schedule orders and establish resource load by time period
• Understand efficiency and utilization and how they are used to determine rated capacity of each work center
• Define sources of load as it relates to planned and released orders
• Understand queuing effects and implications for job-shop production
• Describe scheduling and planning techniques in various environments
• Describe techniques for preparing order releases oriented to capacity availability

7. Capacity Mechanics

• Define the level of detail required to produce effective load and priority plans, including the use of safety capacity
• Determine the capacity planning outputs required to formulate capacity plans, tooling requirements, and overload and underload conditions
• Apply methods to balance capacity and load, such as rescheduling orders, splitting orders, changing capacity through workforce changes and subcontracting, and modifying order quantities and priorities
• Verify that the capacity planning process has scheduled the workload within available capacity
• Assess the degree to which the capacity planning process and conditions such as subcontracting and overtime have failed to support on-time performance via past due load
• Determine the ability of the production processes to meet capacity targets in terms of work in process levels
• Close the loop with master planning of resources and distribution planning with respect to product quantities, timing, and priorities
• Close the loop within the detailed scheduling and planning process with respect to purchased and self-manufactured materials and part quantities, timing, and priorities
• Close the loop with execution and control of operations to verify that manufactured parts, subassemblies, and assemblies were produced in the required quantities and at the required timing

8. Establishing Relationships with Suppliers

• List the principles of partnerships with suppliers
• Identify the factors that influence the choice of relationships
• Define the necessity of communication
• Describe the techniques and concepts essential for supplier partnerships
• Describe product development and production processes
• Define purchase order approaches
• Describe the impact of different delivery approaches
• Identify various company billing processes

9. Supplier Relationships and Procurement Plans

• Describe the range of purchasing decisions necessary to execute the material plan
• Identify tools and necessary information for two firms to interact efficiently
• Identify types of purchase obligations ranging from verbal to contractual
• Define the pricing terms and points of consideration or analysis when reviewing suppliers’ pricing offer
• List the sequential elements of order placement
• Define formal purchase documentation, contracts, and long-term agreements
• Describe the legal considerations of purchasing
• Describe how to control the procurement process and maintain ethical standards
• Identify the implications of sourcing and purchasing goods globally
• Describe the impact of planning for currency fluctuations, international transportation, and countertrade
• Describe the benefits associated with the use of supplier rating systems