Posted by: jdedwards | May 11, 2011

21st Century Supply Chains Require Demand Driven Rules and Tools

Chad Smith & Carol Ptak, Founding Partners, Demand Driven Institute recently posted on The Manufacturing Blog that “In order to improve flow and achieve more agility throughout supply chains, we must seriously re-examine the conventional materials planning and execution systems. This is not just about speeding up the antiquated rules and tools that we already have but rather causing a fundamental shift in how companies manage their supply chains.”

They further explain DDMRP (Demand Driven MRP). “A multi-echelon demand and supply planning and execution methodology. Multi-echelon means that DDMRP integrates multiple tiers (including the bill of material) in the supply chain in order to provide end to end planning and execution visibility so that flow can be improved and better managed. DDMRP ends the typical bi-modal distribution for the parts/SKU that matter and brings it into the desired alignment.”

Want to know more?  Read their post here…..


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