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).
- In a repair/refurbishment center: Capacity planning
- In a manufacturing plant: Production capacity planning
- In a MTS manufacturing plant: Production Order REQ determination
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
Make Cycle Time
Supply Chain Costs
Cost of Goods Sold
Cash Conversion Cycle
Days of Inventory
Master Production Schedule
Manufacturing Resource Planning
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