Material requirements planning (MRP) is a challenging process that sometimes puts you between a rock and a hard place. Ordering too much material costs money in storage and waste. Ordering too little can cause clients to seek products from alternative sources. Of course, some circumstances contradict the prior statement. For example, you would order more products based on cost savings on a volume purchase in some cases, which would offset the additional costs of storage and waste.
MRP applies to every industry, whether it’s a small independent bicycle dealership or a major corporation providing products globally. The two underlying components of MRP are customers and resources. Connecting and distributing the resources to the customers while minimizing cost is the real benefit of an effective MRP program.
For this assignment, you will compare and contrast two material requirement plans. In your paper, be sure to address the following:
Provide a full definition and explanation of MRP and its practical application.
Identify one large distributor – COSTCO and one mom-and-pop shop – BALDWIN & CO COFFEE & BOOKSTORE IN NEW ORLEANS, LA
Explain the strategies utilized by a large distributor and a small distributor in context to an MRP.
Identify the variances and the requirements of an MRP.
Create a flowchart representing the acquisition of goods and products for both the large and small distributors.
Length: 4 PAGES, not including title page, abstract, or reference page
REFERENCES: Include a minimum of 6 SCHOLARLY REFERENCES.
The completed assignment should address all of the assignment requirements, exhibit evidence of concept knowledge, and demonstrate thoughtful consideration of the content presented in the course. The writing should integrate scholarly resources, reflect academic expectations, and current APA standards
