Actions

P3

Plan Make

The collection of processes associated with developing a comprehensive plan to make products and service to support the supply chain operations plan. This process determines net capacity requirements, considering make/production asset availability, maintenance plans, Material Sourcing Plans, and existing work-in-process.

The capacity planning process is based on three dimensions:

  • Determining demand for production (e.g. orders, forecasted orders, inventory levels (including linearity)
  • Available capacity (e.g. fixed and flexible capacity)
  • Time-phasing of raw materials, sub-assemblies, and/or semi-finished products

Alternative names for Plan Make include: Production Planning, MPS (MPS).

Use Cases

  • In a repair/refurbishment center: Capacity planning
  • In a manufacturing plant: Production capacity planning
  • In a MTS manufacturing plant: Production Order REQ determination

Notes

MPS or MPS is a commonly used term to describe the production plan. This originates in the incorrect use of the word schedule in supply chain. A schedule is a fine-tuning of a plan. Perfect Order Ratio Orders On-time Ratio Orders In-full Ratio Order Cycle Time Planning Frequency Make Cycle Time Supply Chain Costs Cost of Goods Sold Cash Conversion Cycle Days of Inventory Master Production Schedule Manufacturing Resource Planning Forecast-to-Plan

Hierarchy

IDNameLevelx
PPlan1P
P3Plan Make2P3
P301Gather Demand for Make3P301
P302Gather Inventory & Schedule3P302
P303Calculate Production Plan3P303
P304Publish Production Plan3P304
P305Analyze Make Plan Deviations3P305

Metric(s)

IDNameLevelx
DP1Perfect Order Ratio1DP1
DP13Orders On-time Ratio2DP13
DP14Orders In-full Ratio2DP14
RS1Order Cycle Time1RS1
RS11Planning Frequency2RS11
RS13Make Cycle Time2RS13
CO1Supply Chain Costs1CO1
CO11Cost of Goods Sold2CO11
AE1Cash Conversion Cycle1AE1
AE12Days of Inventory2AE12

Term(s)

IDNameClearx
F2PForecast-to-PlanF2P
MRP-IIManufacturing Resource PlanningMRP-II
MPSMaster Production ScheduleMPS
Plan Make Plan 5130000 2 Plan, Planning, Production, Master Production Plan, Supply Chain Development of the production plan: Production capacity required to support the overall supply chain operations plan