Advantages of MRP Essay Paper Available

Advantages of MRP
Advantages of MRP

Advantages of MRP

  1. Explain how MRP can decrease a company’s inventory while improving its customer service level. Include a real-life example. Your initial post should be 200-250 words.
  2. Describe the perpetual and the periodic inventory systems. How are they different? Are there circumstances in which one system is better than the other? Include real-life examples. Your initial post should be 200-250 words.

The advantages of using MRP in manufacturing management and production planning come directly from the very nature of it:

  • On time availability of the right materials required for production.
  • Little, if any, excess inventory (our customers report that inventory reduced by 14% on average).
  • Timely delivery of manufactured goods to your customers (increased by 17%).
  • Optimal use of manufacturing resources (equipment downtime reduced 14%).
  • Decrease in capital cost due to decreased inventory levels and optimal use of production resources.
  • Collecting the business data for analysis and better planning.

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