Asked by Jordan Thompson on May 30, 2024

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In MRP, system nervousness is caused by

A) management's attempt to continually respond to minor changes in production requirements.
B) the use of the lot-for-lot approach.
C) management's marking part of the master production schedule as "not to be rescheduled."
D) the use of phantom bills of material.
E) management's attempt to evaluate alternative plans before making a decision.

Master Production Schedule

A detailed plan that outlines exactly what products and quantities will be produced and at what time to meet customer demand.

Phantom Bills

Artificial or virtual bills of materials used in manufacturing and inventory management to simplify complex assemblies and their processes.

  • Comprehend strategies for reducing distortion and instability in Material Requirements Planning systems.
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ZK
Zybrea KnightJun 03, 2024
Final Answer :
A
Explanation :
System nervousness in MRP is caused by management's attempt to continually respond to minor changes in production requirements, which creates instability and variability in the system. By constantly adjusting the plan in response to small changes, the system becomes more sensitive to fluctuations and can result in increased costs, reduced efficiency, and decreased productivity. A better approach is to establish stable production schedules and only make changes when there are significant shifts in demand or capacity.