MRP optimization model for a production system: A case study of Japan paper technology (VN) Co., LTD

Abstract

Nowadays, some companies still have frequent delays in orders, the main reason is not providing materials in time, the coordination of information between departments is very slow, especially updated information about current materials. The location of the factory and the situation of incoming orders make the department confused in planning production and supplying materials. In addition, production planning is mainly based on the experience of long-term employees, often mistakes and corrections occur, this is suitable when orders are small, when orders are high, such planning is no longer suitable, there is often a disturbance of orders that have not been completed by the delivery date, and those that have reached the delivery date are not completed, leading to order delay, which requires a system in which there is coordination between the supply, sales and production departments to make the most of the factory resources, provide timely materials for production, calculate the time reasonable delivery, satisfy customer’s demand. That system is Manufactuting Resource Planning (MRP II). In this paper, we develop an optimization model for a manufacturing system's MRP II. IBM ILOG CPLEX Optimization Studio is used to solve the model.