Supply Chain Innovations Essay Example | Topics and Well Written Essays - 250 words

Supply Chain Innovations - Essay ExampleIT can too be deemed to be a pull (demand) determined origin formation where sub-assemblies, support items, parts and materials argon conveyed just when required and neither later or sooner. Its main goal is to eradicate return inventories from train of supply. As much as an inventory system as a managerial system, JIT covers all activities requisite to produce a final product beginning from engineering design onwards to the final manufacturing action (Radhakrishnan, 2001).Materials requirement planning (MRP) on the other hand is a system of planning and control of inventory that is mostly utilized in the management of the manufacturing processes. Several MRP systems are usually soft-ware based even though MRP can also be performed by use of hand as well. The main aim of MRP system is ensuring that materials are accessible for production and that products are accessible for transmission to customers, maintenance of lowest possible produc t and material level in store, planning manufacturing activities, purchasing activities and delivery schedules(Wisner,2012). twain MRP and JIT facilitate firms to make pertinacious term plans, which allow a manufacturer to make plans for facility and labor use more efficiently. Both systems assist in reduction of orders that are past-due and lead times (Rao, Krishna,