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Just-in-Time, MRP, and Lean Supply Chains

In: Materials Management

Author

Listed:
  • Prem Vrat

    (ITM University)

Abstract

This chapter discusses very topical issues of just-in-time (JIT), materials requirement planning (MRP), and lean concepts in supply chains. Concepts of “pull-based” systems and “push-based” systems are explained. Conditions required for JIT (zero-inventory) system are explained. These are highly reliable/dependable source of supply located nearby, single vendor base, very frequent supplies in small quantities, direct supply from source to point of consumption, and 100 % supplies on time. Lean philosophy aims at reducing inventories in the entire supply chain without increasing the risk of shortages. The second major topic covered in this chapter is MRP, followed by a push-type materials planning system and computer software for discrete products with dependent (lumpy) demand. Limitations of MRP and its subsequent improvements through MRP II (manufacturing resources planning) are also briefly given.

Suggested Citation

  • Prem Vrat, 2014. "Just-in-Time, MRP, and Lean Supply Chains," Springer Texts in Business and Economics, in: Materials Management, edition 127, chapter 9, pages 151-173, Springer.
    • Handle: RePEc:spr:sptchp:978-81-322-1970-5_9
    DOI: 10.1007/978-81-322-1970-5_9
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    Cited by:

    1. Nityesh Bhatt & Sunita Guru & Shashank Thanki & Gunjan Sood, 2021. "Analysing the factors affecting the selection of ERP package: a fuzzy AHP approach," Information Systems and e-Business Management, Springer, vol. 19(2), pages 641-682, June.

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