MRPII (manufacturing resources planning) is the consolidation of material requirements planning (MRP), capacity requirements planning (CRP), and master production scheduling (MPS).

Middleware provides the communication between the separate systems.

When labor and machine (resources) planning were incorporated it became known as MRPII. Inventory accuracy is the goal of every company. More specific examples of characteristics would be rolls of steel, liquids in drums, or cases of small parts on pallets. Lead time should include purchase order processing time, vendor processing time, in-transit time, receiving, inspection, and any prepack times. Point-of-use inventory—material used in production processes that is physically stored where it is consumed. Hand-held computer—any portable computer that can be operated while holding it in one hand. Push-back rack—racking system that incorporates a carriage or other sliding device to allow you to feed multiple pallets into the same location "pushing back" the previous pallet.. Putaway—the process of physically placing inventory into storage. Floor stock—inventory that is consumed in production but is not tracked in the perpetual inventory system. Data elements—individual pieces of data in a database, on a report, or on a computer screen. Location—the place where the inventory is physically stored or staged. Net inventory is the total inventory minus allowances for reserve inventory and allocated goods and materials. Double-deep rack—pallet rack designed to allow storage of pallets two-deep. Production order—the document used to process a production run of an item. Internal benchmarking seeks to compare internal measurements to historic internal measurements.

Count period is generally stated in the number of days between counts. Pick-to-clear—method often used in warehouse management systems that directs picking to the locations with the smallest quantities on hand. This is the complete and updated glossary from Inventory Accuracy: People, Processes, & Technology. Replenishment accuracy—measure of the accuracy of the internal location replenishment process. Also called a wall-to-wall inventory. Adjustments should include all of the adjustments done from the previous counts + the adjustments done in the current count.

Data entry programs are also sometimes referred to as forms. Actually an accounting term used to describe an inventory costing method. Scrap—inventory that must be discarded or recycled as a result of a manufacturing process or damage that occurs during storage or material handling.

2D bar code—a bar code that uses small geometric shapes to represent data. Versions include unit-load ASRS and mini-load ASRS.

For example, the text that reads "PHONE NUMBER" that appears on a report used to identify the data element that contains the customer's phone number.

Also known as stand up reach, straddle reach, and double-deep reach. Data selection—term that describes the "filtering" of data to only display certain records on reports or computer screens. Postponement—a manufacturing /distribution strategy where specific operations associated with a product are delayed until just prior to shipping.

Lists materials (components or ingredients) required to produce an item. Wearable system—a system that includes a wearable computer combined with one or more other devices such as a bar code scanner or voice headset.

MHMS—Material Handling Management Society. For example, if the locations are close in proximity and shipping the item to the correct location is at marginal cost, then the error could be consider as 1 error. Batch computer—portable computers that are designed to periodically download data to a host system through a wired connection. Lane—a row of stored or stage materials.

Standard—a specific level of performance. Compounding a sample—method used with counting scales to use a smaller sample and then use the scale to build a larger quantity that is then resampled to represent the final sample.

I use the term synonymously with the term "components".

Outside operation—a step in the manufacturing process that is performed by an outside supplier. Examples of stocking types would include classifications that distinguish manufactured inventory, purchased inventory, direct ship inventory, or non-stock inventory. EDI—electronic data interchange. Accountants also exclude from net inventory the value of items allocated to promotional events or earmarked for specific customers. Low values for this KPI may suggest that the company has issues with theft, poor inventory tracking, insufficient training for warehouse employees, supplier documentation errors, too many people responsible for inventory control or inadequate systems in place for defining units of inventory (units vs. cases vs. pallets, etc.). They both eliminate waste and allow the smooth production with low. Decoder—interface device that allows you to connect one or more undecoded scanners or other devices (such as scales and credit card readers) to a computer or terminal. Low performers in Inventory Accuracy will not only have to spend time and money resolving inventory accuracy issues, but they also risk not knowing the true amount of inventory on hand, which increases the risk of stock-outs and backorders for customers. Do you manage goods flow using serial numbers ? Staging location—a physical location used to temporarily store queued inventory that is awaiting further processing. A bar code printer can provide faster printing by allowing the computer to send special codes to the printer designating the data to be converted into a bar code. Amongst the readers of this website, when counting stock errors, do you count an error as 1 or 2? Document-level transactions—confirmation transactions where multiple detail-level transactions are executed by confirming the completion of a set of tasks at the document level. For example, if your forecasted demand is 3 units per day and your lead time is 12 days your lead time demand would be 36 units.

Metric Details & Benchmarking Report Download.

Keyboard wedge interface—an interface that allows you to connect a bar code scanner or other device between your keyboard and the computer or terminal.

Fixed location storage—storage method where an item is always stored in the same physical location. Putaway accuracy—the measurement of the accuracy of the putaway process.

IF THEN ELSE—describes the most common logic used by software to make decisions. Perform regular cycle counts to monitor quality of inventory processes, Set targets for accuracy rates and track progress over time, Inventory is tagged and scanned as soon as it is received from suppliers.

3.In rack storage a bin holds 2 48 inch high pallets stacked and we have 37,000 pallet positions, in the forward case pick area we have 825 bins one pallet per bin. Verification count—counting method where the counters are provided the system quantity of the item being counted.

The data could be as detailed as including environmental factors such as temperatures during manufacturing or storage.

Software systems designed to integrate with enterprise systems to enhance the shop floor control functionality that is usually inadequate in ERP systems. Hand-held scanner—a bar code reader that that is manually pointed at a bar code to read it. Thanks for your comment Yair, I think consistent monthly Cycle Counts are the answer to stop the warehouse people trying to manipulate their stock results by “arranging” stock. An order picker will pick all orders within the batch in one pass. Also used to describe the identification number assigned to the specific storage slot. Terminal emulation—software used on desktop and portable computers that allows the computer to act like a terminal connected to a mainframe system. Absolute, or total, inventory is the cost of all of the goods and raw materials a company should have on hand if there are no losses due to spoilage or other factors.

It consists of outriggers in front and telescoping forks that use a hydraulic scissors type mechanism that allow you to pick up the load and retract it over the outriggers reducing the overall truck and load length allowing you to turn in a narrower aisle. Backflush—method for issuing (reducing on-hand quantities) materials to a production order. See also LIFO. DataMatrix—a two-dimensional (2D) bar code symbology. DRP is often used to plan inventory in multi-plant environments. Program generator—software programs that generally provide graphical user interfaces and tools that allow a user to create a program without having to write actual computer code. The notion of inventory accuracy refers to all the discrepancies that exist between electronic records that represent the inventory and the physical state of the inventory. This staging may take hours, days, or even weeks in which case the "staging area" is essentially a "warehouse". Lost inventory—inventory that probably still physically exists somewhere within the facility or supply chain, but cannot be found. There are no systems therefore we do not have a perpetual count… I only know that we have at year’s end :(, © 2020 ServiceNow. Any data scanned will be sent as ASCII characters and immediately appear on the computer screen just as though it were typed on the keyboard. Next count date—date used in cycle counting programs that is calculated by adding the cycle count period (in days) to the last count date. Whatever the means, the book should than be adjusted to show the correct location, or the item is sent to the location that it should have originally been shipped to. Data formatting—the specific way data elements are displayed or printed on a report or computer screen. Pick tag—a version of a pick slip in which each line item is printed as a separate document (usually a smaller paper document or label). Dear Neil, I couldn’t imagine operating with accuracies in the 50’s and 70’s. Lead-time demand—forecasted demand during the lead time period. 1.We don’t use serial numbers but Lot or Batch number which requires FIFO so oldest lots have to be picked first if it is not expired (if product does not have six months shelf life left it is expired). Physical Markup Language (PML) is designed specifically for the EPC Network. Queue—computer term referring to data that is awaiting further processing. These KPIs are further categorized into seven major groups: c... Let us take your KPIs & business intelligence efforts to the top. While the BOM contains the material requirements, the routing will contain the specific steps required to produce the finished items.

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