About this Presentation
This presentation describes the term actively synchronized replenishment (ASR) which is different from the traditional push (replenishment or distribution) solution. It includes manufacturing and MRP with many (6 or more) levels of bills of materials, vertically integrated business unit, etc. The underlying problem is that of the push versus pull distribution system conflict. The company wants to use lean (pull) but the company is also using a forecast to determine demand (push). The undesirable effects (UDEs) of poor material synchronization are listed and discussed. Survey statistics related to the problems of push are provided. The purchasing and fulfillment links seem to be working well in a number of companies but the MRP (all pure pull) is not functioning well. MRP was conceived in the early 50s and commercially coded in the 1970’s. The environment has changed significantly while MRP has not. The details of ASR are provided with buffer locations and the supporting logic. Examples are provided where ASR should be used. ERP (enterprise resource planning, the traditional push solution) has not solved the problem.
What Will You Learn
To help you get the most value from this session, we’ve highlighted a few key points. These takeaways capture the main ideas and practical insights from the presentation, making it easier for you to review, reflect, and apply what you’ve learned.
Actively Synchronized Replenishment (ASR) is a method that builds on traditional replenishment pull concept, but with new approaches and rules for inventory strategy and bill of material analysis.
ASR provides a solution to the push-pull conflict in manufacturing, where planning personnel and their system push materials while the manufacturing side attempts to implement pull.
The speaker emphasizes the importance of strategic inventory positioning in ASR, stating that the first question of inventory is never how much should we have, but where should the inventory be placed.
Instructor(s)
