Initial stage: the stage of ordering point method in 1940s.
Specifically, for a certain material or product, it is gradually reduced due to production or sales. When the inventory drops to a predetermined point, a purchase order (purchase order or processing order) is issued to replenish the inventory. When the inventory is reduced to safe inventory, the materials (products) ordered by the issued order just arrive at the warehouse to supplement the previous consumption. Such ordered numerical points are called ordered points. ?
This method aims to solve the problem of overstock and shortage in actual inventory, but it has some limitations due to unstable supply cycle and uncertain transportation time. In order to ensure production, there is often a phenomenon of inventory backlog.
Development stage: This period can be divided into two stages? Material Requirements Planning Stage -MRP (Material Requirements Planning)?
Manufacturing resource planning stage -MRPII (manufacturing resource planning). ?
MRP stage: mainly solves the management of purchasing, inventory, production and sales.
In 1960s, MRP theory was put forward to solve the defects of order point method.
In 1970s, closed-loop MRP was developed on the basis of MRP, with the purpose of checking, executing and controlling the capabilities of enterprises.
During this period, the famous Toyota production mode (Kanban Management), TQC (Total Quality Management) and JIT (Just in Time Production) appeared to control the production process. ?
MRPII stage:
In 1980s, people put forward the Manufacturing Resource Planning System (MRPII), which integrated the management of enterprise's logistics and capital flow, and integrated the management of enterprise's procurement, inventory, production, sales, finance and engineering technology.
MRPⅱⅱ is a management information system which takes planning and control as the main line and realizes the overall benefit of enterprises through systematic management and control. ?
Modern ERP stage in 1990s
ERP was first proposed by Gartner Group Inc
After entering the ERP stage, the enterprise-level management system with computer as the core is more mature, and the system has added functions including financial forecasting, production capacity, resource scheduling adjustment and so on.
It unifies the logistics, people flow, capital flow and information flow of an enterprise for management, so as to make maximum use of the existing resources of the enterprise and maximize the economic benefits of the enterprise.