A round-trip from MRP planning to shopfloor execution

Posted by Martin Karlowitsch on Apr 13, 2020 12:29:34 PM

In this episode of the Business Central Manufacturing Show, I met with Sune Lohse. Sune is Chief Strategy Officer and Business Unit Manager Supply Chain at Abakion from Denmark. He holds a bachelor in “manufacturing engineering” and helps customers optimizing supply chain processes. Sune is author of the book "200 ERP Questions: The most important things to think about when considering Microsoft Dynamics 365 Business Central" and initiator of the free Microsoft Dynamics learning portal UseDynamics.com, where he has contributed with more than 500 videos on Business Central. Our conversation started with some Marketing best practices, but then quickly turned into a round-trip from material requirements planning (MRP) to shopfloor execution, which culminated in the similarities of raising kids and raising Business Central manufacturing clients.

Business Central Manufacturing Show - Episode 4 - Sune Lohse

 

It is reality that matters. Reality is the glue that successfully brings together material requirements planning (MRP) and shopfloor execution solutions.

Sune sheds a light on the question why almost every Microsoft Dynamics 365 Business Central manufacturing customer has a strong need for MRP planning, and why nonetheless most MRP software implementations do not meet the expectations. 

The answer is: it is reality that matters - and this should also be applied to the expectations as to what MRP planning can and should deliver.

A similar phenomenon can be observed with the implementation of shopfloor execution systems. But here, the reality check is with the concept of the system: is it made to control people on the shopfloor, or does it bring empowerment to them?

With so much reality checks on hand, we conclude this conversation with the question about the similarities of raising kids and raising a Business Central manufacturing client.

 

You can tune in below 👇 on Apple PodcastSpotifyStitcherTuneIn or anywhere you get your podcasts.

 

 

 

On this episode, you'll learn:

  • Why building and sharing content for free is a valid Marketing strategy for Microsoft Dynamics 365 Business Central partners.
  • That there is no number one frequently asked question of a typical Business Central manufacturing client. Instead, there are two: for planning and for shopfloor execution.
  • Why the MRP planning concept is compelling, but often fails when implemented - and what this has to do with the sheer impossibility to keep all planning parameters current. Hence, it is recommended that manufacturers should go for a feasible plan rather than for a perfect plan.
  • That the biggest cultural issue of a shopfloor solution is the fact the people gaining value from the system are different to those people that have to work with the system.
  • Why the glue for material requirements planning and shopfloor execution is communication & collaboration: It is real life that matters.

 

What to listen for:

  • [06.02] Why the base manufacturing functionality of Business Central makes many manufacturing users happy.
  • [07.10] The complexity of the MRP planning processes - running from demand and back, and running from supply and forward.
  • [09.38] The recipe for a manageable planning process by reducing complexity.
  • [12.54] Why shopfloor systems fail (spoiler: if they are made to fulfill targets of finance or planning people and not of the shopfloor people).
  • [14.57] How a shopfloor system should be built to actually empower people on the shopfloor.
  • [19.08] What the similarities are - between raising kids and raising Business Central manufacturing customers.

 

Links to love ❤️:

Topics: Microsoft Dynamics 365 Business Central