Rough-Cut Capacity Planning with Shelf Life

This model example differs from other production capacity planning models by incorporating different shelf life periods, not only by product but also by customer, depending on their geographic region.

Shelf life settings

Set shelf life limits on finished goods as well as component inventory.
Assign different minimum acceptable shelf life periods for each customer based on region.

Inventory and requirements planning

Identify when additional parts are required based on parameters such as product shelf life, customer region shelf life, target inventory, and batch size.
Inventory lots for each product are tracked to identify lot age and when that lot exceeds its designated shelf life.
The expiration costs by product and plant are calculated and displayed.
Dynamically adjust parameters to see impact on inventory and requirements plans, as well as expired inventory costs.

Capacity settings

Set shift schedule and average maintenance hours by work center.
Input run rate per product and work center to display the number of hours required to meet demand.

Capacity adjustments

Balance load between primary and secondary work centers based on a percentage split.
Add overtime hours to cover demand in excess of standard shift schedule.
Change shift schedule to react to higher- or lower-than-expected demand for a specified time period.
Adjust standard maintenance time per work center or override it by time period.

Plant calendar

Identify which days plants will be closed for holidays, maintenance, or other reasons
This is factored into the work center capacities for the selected plant.

Production planning by work center