Let me just cut straight to the point: MRP and APS in the end simply don’t work. These approaches are based on what I call “the paradigm of the makeable reality”. They start from a large number of doubtful assumptions about this reality, like demand, inventory, bills-of-material, lot sizes, lead times, reject rates and capacity. And when these assumptions do not come to pass, it leads to nervousness and instability in the system. It’s time for something else. It’s time for an approach that accepts that reality isn’t manufacturable. (more…)
