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17 - MSE - Maintenance, Scheduling, Planning

MSE 200 - Capacity Management & Inventory Control

Code Start Date Duration Venue
MSE 200 24 September 2023 5 Days Istanbul Registration Form Link
MSE 200 19 November 2023 5 Days Istanbul Registration Form Link
MSE 200 11 December 2023 5 Days Istanbul Registration Form Link
Please contact us for fees


Course Description

Capacity management is concerned with the organization’s ability to meet the demand for its products or services. Capacity is a limiting factor on how much an organization can produce, and how much it can earn. 

Today's business environment demands speed and efficiency in the delivery of products and services. This changing nature of business has implications for inventory management. This course discusses the various techniques associated with production and capacity scheduling. 

Course Objectives

  • Explain capacity management 
  • Discuss the balance between capacity and demand 
  • Explain various inventory management systems
  • List possible ways of accumulating inventory costs
  • Describe the manufacturing environment conditions under which MRP is favored for material planning.
  • Determining your exact material status and inventory financial burden

Who Should Attend?

  • Supply Chain professionals
  • Factory superintendents
  • Customer/technical service managers
  • Industrial engineers
  • Purchasing, manufacturing and production control managers

Course Details/Schedule

Day 1

  • Inventory management classification systems 
  • Accumulating inventory costs
  • Inventory metrics related to operating efficiency, financial effectiveness, and customer service.
  • Inventory order constraints 
  • Lean production principles 

Day 2

  • Safety stock in inventory management 
  • Risk pooling strategy 
  • Lot size techniques 
  • Order point and periodic review techniques used to time orders
  • Periodic inventory counting and cycle counting
  • Approaches to storage layout.
  • The technology used to track inventory

Day 3

  • Material requirements planning process
  • Manufacturing environment conditions 
  • The inputs into MRP process 
  • Where-used and pegging reports in the MRP process
  • Phantom bill of materials.
  • Planning factors 
  • Item numbering system
  • MRP outputs 
  • Bucket and bucketless MRP systems
  • Regeneration and net change approaches 
  • Metrics of evaluation material planning performance

Day 4

  • Capacity planning
  • Basic process used in capacity requirements planning (CRP)
  • Steps used in CRP
  • The feedback loop between CRP and master scheduling and execution and control of operations.
  • The load inputs into CRP
  • Rated capacity and demonstrated capacity calculation
  • Efficiency and utilization factors calculation
  • The role of safety capacity in CRP
  • The load is calculated
  • Capacity simulation tools
  • Tactics for resolving imbalances between load and capacity

Day 5

  • Planning procurement and external sources of supply
  • Sourcing strategy
  • Selecting suppliers
  • Collaborative relationships with suppliers 
  • The impact of sustainable procurement on purchasing practices
  • Aspects of item specifications needed for purchasing
  • Tracking purchasing process from requisition to invoice approval
  • Contract types between supply chain partners 
  • Purchase order 
  • Blanket order
  • Characteristics of effective supplier evaluation systems