Orlicky’s Material Requirements Planning
Authors: Carol Ptak, Chad Smith
ISBN: 9780071755634 / 0071755632
©2011 | 3rd Edition | 546 pages | Hardback
Pub Date: JUN-11
Price: US$ 70.00
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The classic MRP work up-to-date with new information on supply chain synchronization
Thoroughly revised, Orlicky’s Material Requirements Planning, Third Editionreviews the poor business results embedded in most of today’s business systems; discusses the core problems causing the results; presents and discusses an alternative pull structure for planning and controlling materials flow; and presents initial results from actual implementations. This new edition reveals the next evolutionary step for materials and supply chain synchronization in the modern manufacturing landscape. This update describes:
- A solution to a chronic MRP-related problem that plagues many manufacturers: shortages of materials, components that block the smooth flow of work through the plant
- A competitive edge through strategic lead time reductions
- Significant reductions in total inventory investment
- Significant increases in service levels
This new edition helps companies tackle three pervasive problems: unacceptable inventory performance; unacceptable service level performance; and high related expenses and waste.
New to This Edition:
- New section on manufacturing as the heart of the supply chain management, and specific challenges in the 21st century
- Covers supply chain management (SCM) and distribution requirements planning (DRP)
- Discusses the impact of Lean and the Toyota Production System
- Update of integration software
- Reviews the emergence of demand-driven strategies and the MRP “conflict”
- Introduces the new concept of ASR (Actively Synchronized Replenishment) and explains how to incorporate it into business processes
- Explains positioning and how Six Sigma can help achieve results
- In-depth discussion of buffers – how to size, maintain, and adjust them
- New chapter on using MRP tools across the supply chain to enable pull-based approaches
- New case studies which illustrating the techniques described in the book
Coverage includes:
- Inventory in a manufacturing environment
- Principles of MRP
- MRP system
- Processing logic
- Lot sizing
- System records and files
- Product definition
- Master production schedule
- Inventory planning and control system
- System effectiveness
- Industry effect on MRP
- Project manufacturing
- Remanufacturing
- Process industry application
- Repetitive manufacturing application
- Sales and operations planning
- Evolution of MRP and planning systems
- Demand driven MRP (DDMRP) logic
- Strategic inventory positioning
- Dynamic buffers
- Demand driven planning
- Highly visible and collaborative execution
- DDMRP performance reporting and analytics
- DDMRP future
About the Authors
Carol Ptak is currently a partner with the Demand Driven Institute, and was most recently at Pacific Lutheran University as Visiting Professor and Distinguished Executive in Residence. Previously, she was vice president and global industry executive for manufacturing and distribution industries at PeopleSoft where she developed the concept of demand driven manufacturing (DDM). Ms. Ptak spent four years at IBM Corporation culminating in the position of global SMB segment executive.
Chad Smith is cofounder and managing partner of Constraints Management Group, a services and technology company specializing in pull-based manufacturing, materials, and project management systems for mid-range and large manufacturers. He has been at the forefront of developing and articulating demand driven MRP and is also an internationally recognized expert on the theory of constraints (TOC).
Carol and Chad founded the Demand Driven Institute, an organization devoted to the proliferation and further development of demand driven strategies and tactics in industry.

