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Insight
When MRP Isn't The Problem

When manufacturing teams stop trusting MRP, the system is usually blamed first.

 

I've seen businesses spend weeks adjusting parameters, changing planning settings and questioning system logic, only to discover the real issue was somewhere else entirely.

 

In many cases, MRP is producing exactly what it should be producing. The problem is that the information being fed into the system no longer reflects operational reality.

MRP Can Only Use The Information Available To It

Every planning recommendation is built upon assumptions.

 

Those assumptions originate from data.

If:

  • Inventory records are inaccurate

  • Bills of Materials are outdated

  • Routing information no longer reflects reality

  • Lead times have drifted over time

 

....then planning outputs become increasingly unreliable.

 

The MRP system has not necessarily failed.

 

It is simply making decisions using information that can no longer be trusted.

Once planners stop trusting recommendations, behaviour begins to change.

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Spreadsheets appear.

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Manual workarounds become normal.

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Production decisions are made outside the system.

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Multiple versions of the truth begin to emerge.

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At this point, MRP may still be running successfully, but confidence in the information beneath it has disappeared.

The Moment Confidence Is Lost

Before adjusting planning parameters or investing in a replacement solution, ask a simple question:

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How much do you trust the data feeding the system?

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Because planning quality rarely exceeds data quality.

Before Changing The System

  • Do planners routinely override recommendations?

  • How accurate are inventory records?

  • When were routing times last validated?

  • How often are Bills of Materials reviewed?

  • Does the system reflect how work actually flows through production?

 

The answers often reveal that the planning system isn't the problem at all.

Questions Worth Asking

Experiencing Planning Challenges?

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