Master Production Schedule Level 1

At MS Level 1, you plan long-term demand for parts that are manufactured or purchased. When Level 1 is calculated, master schedule proposals create shop order requisitions or production schedules and/or purchase requisitions and/or supplier schedules and/or distribution orders. When master scheduling plans supply, the manufacturing calendar connected to the site is used for manufactured parts and the distribution calendar is used for purchased parts.

 MRP breaks down only semi-manufactured and purchased components. The parts processed in MS on level 1 do not generate supplies during MRP (unless specifically set to create supplies during MRP for actual demands of MS parts). These supplies are then broken down and then generate a demand of semi-manufactured and purchased components by MRP.

The parts on Level 1 are usually manufactured, although they can also be purchased. These can be considered as the end items as they are at the leaf nodes of planning structures. The topmost part of the planning structure is a Level 0 part. The subsequent parts are Level 0 phantom parts. The bottommost parts of a planning structure (end items/leaf nodes) are Level 1 parts. Level 0 parts and Level 0 phantom parts are used as a concept for grouping in sales and operation planning and subsequently in the Master Production Scheduling process. Forecast information comes to Level 1 from Level 0 once Level 0 forecasts (highest level of planning) are disaggregated i.e., broken down to generate Level 1 forecasts. You can add other forecasts for these parts in Level 1 such as manual forecasts, imported forecasts from demand planning and from customer schedules. A part does not need to have a Level 0 to be planned in MS Level 1.

In a situation where parts are mainly defined as end products in some structures and as components in several other structures, such parts will have dependent and independent demands due to its nature of how it is defined in the structure. If such Component parts are planned by MS or defined as MS level 1 parts, the Supply proposals for parent parts created by MS are broken down and they explode demands to these MS planned Components. These exploded parent MS receipts are visible as Planned dependent demands. During MS level 1 calculation demand explosion stops when it hits MRP planned component.

Multi-Site Master Scheduling

Master scheduling also supports the concept of multi-site planning through the use of material transfers executed via distribution orders. Multi-site planning can be used when two or more sites interact in a single supply chain, with parts distributed to one or more demand sites from a single supplying site. Multi-site planned parts are defined as supplied from an internal supplier corresponding to the supplying site. You can perform master scheduling for a single site, or alternatively execute master scheduling for multiple sites in support of a multi-site supply chain environment. Master scheduled parts supplied from another site are defined as multi-site planned in the Supplier for Purchase Part page, indicating that the supply comes from an internal supplying site. Master scheduling plans supply proposals across these sites and generates distribution orders for the material move requirements.

While not as sophisticated as multi-site MRP, multi-site master scheduling consists of two or more sites working together in an integrated supply chain. Unlike planning networks in a multi-site MRP, you can execute master scheduling for sites one at a time, but it is up to you to manually determine the order in which master scheduling is executed, for the sites in the supply chain.

Project Master Scheduling

Forecasts for project connected parts can also be planned with MS Level 1. In this instance, along with the other parameters, PNG and PPSA (program, project, subproject and activity) information will be connected and displayed with the part. The MS Level 1 calculation will also be performed in connection with the selected PNG.

Master Scheduling Supplier Schedules

Master scheduling supports the process of generating supplier schedules. When using master scheduling in this mode the Demand Time Fence and Planning Time Fence on Master Schedule Level 1 Part page should be set to 0 as supplier schedule template rules are applied. The parameter Create S/P Req should be set as Create S/P Req Entire Horizon.

Master Scheduling MTO

DOP parts can be administrated by MS Level 1, and generally master scheduled DOP parts should have the parameter Gen Fixed MS in Master Schedule Level 1 Part page as Not Create MS Receipt and parameter Create S/P Req in Master Schedule Level 1 Part page should be set to Do Not Create S/P Req since the pegged supply order will be created by DOP. By selecting Allow MRP Explosion for DOP Part in Master Schedule Level 1 Part page, MRP will explode through the default manufacturing structure and create proposals for non-DOP parts in the structure, based on netted MS proposals.

When the parameter Create S/P Req in Master Schedule Level 1 Part page is set to Create S/P from MRP, then MRP will create component supplies based on netted MS proposals while MS Level 1 part supply proposals will be created by MRP based on actual demand. Since MRP creates supplies for actual demand the purpose of planning time fence is redundant. Therefore when MRP creates supplies for MS handled actual demand, both demand and planning time fences can be set to an equal value.

Consideration of shelf life expiration date in Planning

MS level 1 will be considering future expiration stocks of an inventory parts if the Mandatory Expiration Date flag is checked for the part and it plans sub MS receipts accordingly.

During MS level1 execution, MS level 1 calculates beginning on hand reducing all the expired qty up to system date. This will further be affected if Minimum Remaining Days for Planning is defined for the part in acquisition tab in inventory part.

Before inventory stock get expired it will be consumed by demands fall before the expiration date. This is also affected by the Minimum Remaining Days for Planning, if such stock is remaining even after consumed by demands, the remaining qty will be expired and will be visible in IFS application.

On hand Qty available at the MS level 1 execution date =   250-10-15

Inventory stock Expiration exists on 2017/04/02 for a qty of 5

Inventory stock Expiration exists on 2017/05/03 for a qty of 5 (qty of 20 will be consumed by the demand which exists before the expiration)

Inventory stock going to be expired on 2017/06/26   for a qty of 5 (full qty will be consumed by the demand which exists before the expiration).

The lot expirations are visible in MRP part information for the parts planned by MS. MRP source for such demands will be MRP Inventory Lot Expiration

Important Parameters for Level 1 Calculation

The Level 1 calculation considers various parameters and their settings.

Rolling

If you request rolling, the estimated quantity on hand development corrects the master schedule proposals after the planning time fence. This means that the first master schedule after the planning time fence is adjusted by the estimated quantity on hand development between the run time and planning time fence. For example, if there is an excess part quantity of 100, it is subtracted from the first master schedule proposal after the planning time fence.

Minimum, Multiple and Maximum Lot Sizes

Level 1 calculation considers any specified lot sizes. This information is retrieved from the planning data section in the inventory part register. If the minimum and maximum lot sizes are set to zero (0), the lot size is unlimited.

Rate by Period

A period-based capacity tool which provides functionality to spread and level MS Level 1 supply proposals in periods when running at or close to the maximum capacity. Periods are user defined and are entered either in a weekly or daily manner for future periods outside the master scheduled part's planning time fence. If the defined capacity for the period exceeds, the remaining quantity will be moved to the previous period, and the spread and leveling will stop at the planning time fence which is the lower boundary. The order gap time, multiple lot size and safety lead time will not be taken into consideration if rate by period records exist.

Use Planned Dependent Demand

This controls whether the Planned Dependent Demand generated due to exploded MRP demands, exploded master scheduled receipts of a parent master scheduled part or Planned Distribution Orders should be visible in MS level 1.

Use Dependent Demand in Forecast Consumption

This controls whether the Planned Dependent Demand generated due to exploded MRP demands, exploded master scheduled receipts of a parent master scheduled part or Planned Distribution Orders and Actual Dependent Demand generated due to Shop Orders, Purchase Orders, Production Schedules and Released Distribution Orders should Consume MS forecast.

Use Abnormal Demand in Forecast Consumption

This controls whether the Customer Order demands marked as Abnormal are allowed to consume the forecast.

Important Details for Level 1 Calculation

Fixed master schedule proposals remain in existence until the run date, but they do not affect any calculations within the time fence demand. Variable proposals are set to zero (0) so that they can be recalculated outside the planning time fence.

Site level attributes control how master scheduling level 1 plans for a part. Parts are registered for each site. If the part is handled by project MS then it is registered for both the site and PNG. The selections that you make in the Manufacturing tab of the Site page determine how the system processes the part during master scheduling. Selecting the Use Released Purch Reqs in Planning setting causes master scheduling to not delete purchase requisitions in status Released at the start of the master scheduling run. These are viewed as supply later in the master scheduling process.

When demand for a part arises, shop order requisitions, production schedules, or purchase requisitions are created from the fixed master schedule proposals within the planning time fence. Multiple requisitions or schedules will be created depending on the maximum, minimum and multiple values set in the Inventory Part/Planning Data tab. However, this kind of supply is created only if the Proposal Release field in Inventory Part/Planning Data tab is set to Release, indicating supply for the part is not managed by Kanban circuits.

If you specify that fixed master schedule proposals are to be created automatically, this happens when the variable proposals fall within the planning time fence. Quantity on hand development and quantity available to promise are based on the current quantity on hand minus safety stock.

The Master Schedule Receipts column in the Receipts tab shows the master schedule receipts, both Proposed and Fixed, generated by the system. The master schedule receipts, in the normal course of events, cross the planning time fence and may be set to state Fixed by the system, if indicated by the user. After this, the system generates supply proposals depending on the type of part. If it is a discrete manufactured part, then shop requisitions are generated, and the Schedule Orders column is updated to reflect this. If it is a repetitive manufactured part, then production schedules are generated, again updating the Schedule Orders column. When these supply proposals are converted into shop orders or firm production schedules, the Firm Orders column is updated to reflect this, and the Scheduled Orders column is also updated to reflect the change in status of the supply. When the shop orders are released, the Released Orders column is updated to reflect this, and the Firm Orders column is also updated to reflect the change in status of the supply.
The Master Schedule Receipt column is updated only after the supply goes past due.

In a situation where parts are mainly defined as end products in some structures and as components in several other structures, such parts will have dependent and independent demands due to its nature of how it is defined in the structure. If such Component parts are planned by MS or defined as MS level 1 parts the Supply proposals for parent parts created by MS are broken down and they explode demands to these MS planned Components as planned Dependent Demands. During MS level 1 calculation demand explosion stops when it hits MRP planned component.

Details for Multilevel MS Level 1 Calculation

When the Level 1 Calculation is performed for an entire it considers the low level coding of the parts. It starts with the lowest level code i.e the top parts. This is very useful if there is a scenario where not only the end product kits but also their individual products have forecast. Consider a scenario where the bathroom ceramics are manufactured and sold. Three parts are manufactured and sold; Sink&Tap package, Sink and Tap. There are individual forecast for all three items in Ms Level 1. When MS Level 1 calculation is performed it starts with the Sink&Tap part and when it is calculated the system explodes the MS receipts to Sink and Tap. Then the system continues with calculating Sink and Tap. These parts considers the exploded MS demand from Sink&Tap as a planned dependent demand. When running the MS Level calculation part by part, it will consider the exploded MS demand from previous calculation.

Restriction: The multilevel MS  Level 1 calculation will only consider consecutive MS planned parent-child in the product structure.

Multi-Site Master Scheduling

You can perform master scheduling for a single site, or alternatively execute master scheduling for multiple sites in support of a multi-site supply chain environment. Parts supplied from another site are defined as multi-site planned in the Supplier for Purchase Part page, indicating that the supply comes from an internal supplying site. Master scheduling generates distribution orders from fixed master schedule receipts for these material move requirements.

Perform MS level 1 Integrated with CRP

MS level 1 calculation can be performed by Integrating with CRP. When performing MS level 1 calculation alone, it considers Site manufacturing calendar. Therefore, Shop order requisitions generated by the process will have start date calculated based on site manufacturing calendar,

When MS is performed integrating with CRP , Shop order requisitions generated by MS will be backward scheduled  and the start date of shop order requisitions are calculated considering the relevant Work centers / resources and Work center connected calendar availability. In this way more accurate results can be achieved

Start MRP Process once MS completes

After Performing MS level 1, MRP process can be started with plans supplied for lower level components.