MRP vs APS, What’s the Difference

| April 19th, 2021

Materials Resource Planning (MRP) and Advanced Planning and Scheduling might be considered to be cousins in the area of Manufacturing Planning. But while similar, they have wildly divergent capabilities. While many people feel MRP is adequate (and it may very well be in certain situations) APS is a game changer that increases the efficiency of manufacturing exponentially. 

Let me give you an example to illustrate the point. With MRP (visit link), we know what we have to order to make what products, and what we have to order to create all of the sub-assemblies that go into the final product. While that data is at our fingertips MRP assumes infinite capacity and so doesn’t check to see if you have capacity on the floor to make the order. In order to figure out what you can promise your customer and when, you have to do a bit of research. This may involve one or more employees and one or more days to find out. Even then, because the full manufacturing schedule is not consulted, you could be wildly off. This takes up unnecessary time and effort and can open the door to unhappy customers or lost sales. The customer wants an answer today, not two days from now.

With APS, the system will do all the research for you. When the customer is asking you for a projected delivery date you have that information for him within moments. You don’t have to check inventory to see if you have the parts to make the order, or find out what projects are already scheduled. You don’t have to check the capacity of the plant, send someone down to check production so as to schedule in the order. All you have to do is input a bit of information and the system checks everything you need to know to get an accurate date that you can promise your customer.

For more detail, please watch our video on APS Basics here.

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