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DD/MRP Education

 

Half Day DDMRP Course

 

The course examines the 'problem set' which modern supply chain management has to cope with and proposes that, at the core, lies the problem of an ever widening gap between the time a customer is prepared to wait and the time it takes to fulfil their requirement. The course explores the nature of this fundamental conflict, and also looks at the most commonly used solution to this issue - working to a "forecast".

Using highly visual animations to illustrate the impact of working in this way, the session will then link many of the observed problems right back to theforecast way of working. Based on this understanding, the new solution is proposed - working to ACTUAL demand rather than working to FORECAST demand. The way this works, and how this changes the entire supply chain system from being 'PUSH' driven to being 'PULL' driven is then explained using further animations.

Having gained an overview of the basic essence of the change from 'push' to 'pull', the rest of the session focuses on the five key areas which make up a Demand Driven Supply Chain solution, and finally reviews the options available for further learning and the software support tools which are available for deploying a Demand Driven Supply Chain solution into your business.

 

One Day DDMRP Course

 

This course, aimed at boards and senior management teams, teaches what is possible in a new "Demand Driven" world. The first part of the day covers the Demand Driven fundamentals, moving on to focus on the business impacts, and possible strategic options which can be created by being truly "Demand Driven".

Re-configuring your business using Demand Driven Supply Chain principles has implications far outside of the realms of logistics, planning and purchasing. It can affect how you can take your products to market, how you price your products, how you interact with key customers. It releases working capital and it could affect strategic supply relationships and has the capability to positively affect your entire business.

This course, aimed at boards and senior management teams, addresses these issues and teaches what is possible in a new "Demand Driven" world. It covers Demand Driven fundamentals, but only to the depth necessary to understand the key principles. The rest of the day focuses on the business impacts, and possible strategic options which can be created by being truly "Demand Driven".

The course assumes no prior knowledge of Demand Driven Supply Chain concepts or Demand Driven MRP in particular. It therefore starts with a two hour overview of the essence of the knowledge and, using interactive animations, the differences between a 'Forecast' driven 'Push' System and a Demand Driven 'Pull' System are explained.

The rest of the day then covers the Strategic Implications and opportunities for businesses which arise from implementing a Demand Driven Supply Chain Strategy.

The following areas are covered, although there will be an opportunity to explore other issues of specific interest to the attendees:

  • Implications for service levels and how to leverage those improvements
  • Impacts on pricing strategy
  • How to use Demand Driven strategies to lock customers in - Vendor Managed Inventory
  • Implications on the supply side - purchasing strategy
  • Reflection on the pro's and con's of long lead sourcing from low cost countries
  • The impact on the balance of out-sourcing and in-sourcing
  • Implications for internal manufacturing operations
  • Considerations for the design of new products
  • The overall financial impact - what to do with all the cash!

 

Attendees will leave with a thorough understanding of the various strategic changes which they should review as a result of changing to a Demand Driven Supply Chain Strategy, and a grasp of the key factors which affect these areas.

 

Two Day DD/MRP Workshop

 

This workshop is aimed at departmental managers in supply chain functions, supply chain practitioners - planners, schedulers, buyers, etc., and also at IT specialists who are involved in the practical IT deployment of a Demand Driven System.

The course is designed to help the participants understand how this works in a very practical hands-on way. A physical simulation environment journeys through how the supply chain works currently and the results obtained, and then how a step by step implementation of DDMRP alters the simulator until the full solution is running in real time in the classroom environment.

Participants will leave with a complete understanding of how DDMRP works and will have a comprehensive grasp of why it works and the factors which need to be managed in order to sustain a Demand Driven Supply Chain System.

 

DAY ONE
Day one commences by collecting the problems which beset supply chains, and the daily issues which the participants have to grapple with. This list will be used throughout the two days to validate the problems which are solved by the Demand Driven Solution.

The next task for the workshop participants is to operate the supply chain simulation system by using current 'best practice' -  i.e.Forecasting demand, developing a Master Production Schedule (MPS), and running the supply chain system for a simulated period of 6 weeks (which takes about 15 to 20 minutes of class time).

The results are then analysed and the problems observed are linked back to the collected problem list.

The problem of current best practice is then explored, which leads on to the introduction of the core principles of the Demand Driven approach. Step by step, using the simulator at regular points in the learning process, the essential components of the Demand Driven approach are introduced and tested.

The day finishes with a summary of the core 'before' and 'after' results achieved.

 

DAY TWO
Day two continues with using the simulator and introduces the more advanced aspects of Demand Driven MRP. Participants will learn how to deal with sudden spikes in consumption, how to cope with seasonality, and how to manage run in and run out of products.


The rest of the day then focuses on the five core steps in implementing and operating Demand Driven MRP in a business. These are:

  • Inventory Design - WHERE to place your inventory
  • Buffer Sizing - HOW MUCH inventory of each SKU
  • Dynamic Buffer Management - Keeping things up to date
  • Demand Driven Planning - How Orders are generated
  • Managing DDMRP in Execution - Keeping the system in balance

By the end of the two days the participants will have experienced the practicalities of how a Demand Driven Supply Chain works using DDMRP principles in a very real and practical way.

Please note:
Minimum number per workshop = 4 people
Maximum number per workshop = 10 people

Contact us…

E: info@criticalpoint.co.uk

T: +44 (0)1892 506881

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