The successful implementation of MRPII via a hierarchical modelling approach Available to Purchase

Manufacturing Resources Planning (MRPII) is recognized as being an effective management system that has an excellent planning and scheduling capability which can offer a dramatic increase in customer service, significant gains in productivity, much higher inventory turns, and a greater reduction in material costs. Many companies world‐wide have attempted to implement MRPII systems. Many of them are now using MRPII with various level of satisfaction. However, failure of MRPII implementation was in fact experienced by other companies. This paper proposes an integrated system design and implementation approach to overcome the difficulties. It aims to formulate a standard process by combining strategic elements, problem definition, MRPII solutions, technical and procedural design, and implementation management in order to minimize the frustration and conflicts commonly found in MRPII implementation as well as to reduce disconnection among different stages of design and implementation. A hierarchical analysis technique using Integrated DEFinition Method (IDEF) is used to support the design and implementation management. The examples illustrated that it provides an invaluable support in the management of MRPII system.