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CPM Production Management eliminates both stock costs and stock-out stop-drop conditions, as production companies keep the materials they need in their warehouses at the right time. MRP determines what needs to be purchased, how much and when is needed, and when to order.
Keeping the materials they need in their warehouses at the right time eliminates both the inventory costs and the conditions of falling out of stock. The MRP determines for you what needs to be purchased, how much and when is needed, and when to order.
Keeping the materials they need in their warehouses at the right time eliminates both the inventory costs and the conditions of falling out of stock. The MRP determines for you what needs to be purchased, how much and when is needed, and when to order.
On the other hand, for open purchase orders (orders with a balance), it also tells you that you can push the delivery date forward, pull it back, or cancel the current order by looking at the latest status of the plan.
In this way, it tries to ensure that you do not keep unnecessary stocks or that the necessary ones are provided. The more applicable the messages given by the system, the lower your stock levels and the more relaxed your cash flow table will be.
MRP enables firm-wide inventory planning, making it easier for you to implement inventory policies, neither too much nor too little. In this way, it both relieves cash flow and reduces other costs.
The follow-up of operations in the production process, the creation of work orders, and the reflection of labor and general production expenses other than materials on stocks reveal the real cost.
