Cupertino, CA, January 28, 2015 --(PR.com
)-- Ultriva, the leader in collaborative supply chain solutions, presented a webinar about consumption-based replenishment. It is common to see orders fulfilled in multiple shipments. This is a serious issue on the supply side which forces similar behavior on the customer side. Ultriva manages lot sizes and ties lead time to those lot sizes. This eliminates the common MRP problem of fixed lead time but varying lot sizes.
The result of MRP’s shortcomings and/or poor implementation is that companies have chronic and frequent shortages at various stages of the production, procurement, and fulfillment cycles.
Inventory can be an asset or a liability depending on how it is managed. Ultriva uses business rules, sizing algorithm, and collaborative visibility, to ensure the right part is at the right place at the right time. With a built-in work flows, exception alert mechanisms and rules engine, inventory managers are agile, proactive, and efficient.
Constant push and pull by MRP runs lead to continuous bull whip effect in the supply chain. As buyers/planners are constantly fighting fires, expensive expediting becomes the norm. By incorporating a proactive process, Ultriva dramatically reduces the expediting costs. Having clear order visibility and access to customers’ consumption patterns, suppliers improve service levels and fill rates dramatically.
To read the entire blog, go to: http://web.ultriva.com/ultriva-blog/bid/103573/MRP-Shortcomings-Generate-Chronic-Shortages-in-Supply-Chain.
Ultriva’s (http://www.ultriva.com) cloud-based platform leverages seamlessly integrates with leading ERP and MRP systems, to deliver an end to end pull based replenishment solution. Ultriva, based in Cupertino, CA, implements a global demand driven manufacturing model by providing full visibility, scheduling, and sequencing of production of customer orders. Ultriva was named one of the Great Supply Chain Projects of 2014 by Supply & Demand Chain Executive magazine and recently named one of 50 Best Supply Chain Blogs of 2014 by SupplyChainOpz. The company’s global footprint is increasing rapidly with implementations in wide variety of industry sectors and enterprises such as Magellan Aerospace, CareFusion, Emerson, Ingersoll Rand, McKesson, Triumph Group, Regal Beloit, Thermo Fisher, and more. Follow Ultriva on Twitter at @Ultriva.