Explain Master Production Schedule Process

In MPS, inputs are used to draw a master production schedule and the inputs used are – orders from customers, production plan from aggregate planning, forecast, resources that are available, inventory levels and the capacity constraints. While drawing a MPS, quantities of individual items must be equal to the aggregate quantities from the production plan and also the total requirements for a product must be allocated overtime in a very good manner.

MPS outputs include – the amounts that are to be produced, due dates, quantity that is available to promise with the projected available balance. MPS is a schedule that expresses the operations plan of production for a specific period of time only and is stated in terms of the end items, which may be either shippable products or the highest level assemblies used to make them.

The main steps in master production schedule can be summarized as –
1. Forming a preliminary MPS.
2. Performing rough – cut capacity planning.
3. Resolving differences.

Rough – cut capacity planning plays a very critical role in checking whether the resources available are capable of supporting PMS or not.(Resolving Differences) MPS starts with the preliminary calculation of projected inventory. As additional orders are booked, they would be entered into the schedule and ATP would be updated which would reflect the new orders booked.