ABC Auto Parts is a leading manufacturer of automobile parts. To meet the demand for its...

 

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ABC Auto Parts is a leading manufacturer of automobile parts. To meet the demand for its products, ABC Auto Parts implemented a Material Requirement Planning (MRP) system. The MRP system helped the company to accurately forecast demand, plan production schedules, and manage inventory levels. The MRP system enabled ABC Auto Parts to efficiently manage the production process from start to finish. The system generated purchase orders for raw materials and components needed to meet production requirements, and it also generated a production schedule that specified the sequence of operations and timing of each operation. The MRP system helped ABC Auto Parts to reduce inventory levels and minimize waste. By accurately forecasting demand and managing inventory levels, the company was able to avoid overstocking and stockouts. This resulted in significant cost savings for the company. Overall, the MRP system helped ABC Auto Parts to improve production planning and scheduling, reduce inventory levels, increase efficiency, and improve customer satisfaction. The company was able to meet customer demand, deliver products on time, and maintain its position as a leading manufacturer of automobile parts. a) Discuss TWO (2) benefits in term of production planning and scheduling obtained by ABS Auto Parts from the MRP system? (5 Marks) b) Provide TWO (2) justification to explain how MRP system application helps ABC Auto Parts improves customer satisfaction. (5 Marks) ABC Auto Parts is a leading manufacturer of automobile parts. To meet the demand for its products, ABC Auto Parts implemented a Material Requirement Planning (MRP) system. The MRP system helped the company to accurately forecast demand, plan production schedules, and manage inventory levels. The MRP system enabled ABC Auto Parts to efficiently manage the production process from start to finish. The system generated purchase orders for raw materials and components needed to meet production requirements, and it also generated a production schedule that specified the sequence of operations and timing of each operation. The MRP system helped ABC Auto Parts to reduce inventory levels and minimize waste. By accurately forecasting demand and managing inventory levels, the company was able to avoid overstocking and stockouts. This resulted in significant cost savings for the company. Overall, the MRP system helped ABC Auto Parts to improve production planning and scheduling, reduce inventory levels, increase efficiency, and improve customer satisfaction. The company was able to meet customer demand, deliver products on time, and maintain its position as a leading manufacturer of automobile parts. a) Discuss TWO (2) benefits in term of production planning and scheduling obtained by ABS Auto Parts from the MRP system? (5 Marks) b) Provide TWO (2) justification to explain how MRP system application helps ABC Auto Parts improves customer satisfaction. (5 Marks)

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a Benefits in Production Planning and Scheduling Obtained by ABC Auto Parts from the MRP System 1 Accurate Production Scheduling The MRP system enable... View the full answer