Enterprise Resource Planning - Research Paper Example

When one is reactive, one probably loses an opportunity that existed and may never get the opportunity again. Being proactive means putting in place systems that will help the business to have the checks and balances of what is needed at any predetermined time (Sheilds 2001). If one has to excel, it means that one has to be ahead of the competitors because the moment your competitors are ahead of you, one simply reacts to the demands of the consumers. In order to be proactive, one has to manage all organization’s resources very effectively and efficiently.

Management means being able to be in control. The aim of this paper is to outline the benefits that come with master production scheduling (MPS) and material resource planning (RPF) as a function of Enterprise resource planning (ERS). This will be done by describing the function of Enterprise resource planning and the role of master production scheduling and material resource planning (Sheilds 2001). . Later on ERP became an integrated system that addressed all the core functions of an enterprise, with the governments and non- profit organizations employing the system (Chang, Symythe and Timbrell 2000).

When ERP systems were introduced, their main focus was to automate the functions of the back office. The functions of the back office are activities that did not involve the customers directly. They are referred to as back office activities because those activities took place in the building where other people cannot see those activities going on. Such activities include manufacturing, developing products and administration. The front office functions were integrated later in the ERP system. As opposed to the back office functions, front office functions are directly related to the customer for instance customer relationship management.

Master Production Schedule (MPS) A master production schedule (MPS) is a plan that a company develops so a as to plan for production, inventory and staffing. A master production schedules gives the time the product will be demanded and also gives the quantity that will be demanded. It is therefore a plan for future production. An MPS therefore contains a statement of what the firm anticipates to manufacture. For instance, it states the amount to be produced and possibly how much labor is required.

It is therefore concerned with elements such as forecast demand, production cost, inventory costs, lead-time and working hours (Sheilds 2001). The MPS translates the business plan into a production plan. Its addresses the concern of demand, hence forecast demand. It helps to avoid shortages,