Sales & Operation Plan with Master Production Schedule

The Selling and Operating Plan (S & OP) is a process that enables us to provide better customer service, reduce inventory, shorten customer lead times, stabilize productivity, and master business by management. The S & OP process is based on teamwork during sales, operation, finance, product development. It is designed to help companies achieve a balanced supply and demand and to balance them over time. Balancing supply and demand is important for the operation of the project. Some companies make S & OP the master planning process.

Operational planning and sales are two aspects that are interrelated within the core scope. Therefore, various operations such as MPS (Master Production Planning), MRP (Material Requirements Planning), Summary Capacity Planning, Capacity Demand Planning, Order Planning and the like play a role of improving the organization's total sales, It will go up. . This can be explained with the help of the IT industry and telecommunications department. Organizations operating in the information technology field considers human resources as the most important asset. Thus, regardless of other functions, most aspects of operation relate only to this particular element. In this case, employees working in the organization play an important role, but they are less important than in the previous situation. (FAQ on sales plan and management plan)

In MRP-based planning, demand planning and sales planning are created independently of constraints on production and material planning, production plans are created based on lead time of the supply chain. When "product composition" (that is, the product to be produced and its BOM (Bill of Materials)) is decided and a plan is created, the capacity restriction is not reflected in the schedule, so the plan is executed according to the deployment process and the load of each work . . If operational capacity is sufficient, the MRP-based plan will be the best just-in-time plan with minimal lead time and maximum throughput.