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Capacity Requirements Planning (CRP)

Detailed Capacity Requirements Planning ... provides visibility of demand for each work centre. This forward visibility allows the operations manager to more accurately plan the overall strategy for the addition or reduction of capacity for a more efficient use of resources (Carol and Ptak, 2004)

Information about Capacity Requirements Planning (CRP)

The past three decades have witnessed manufacturing planning and control systems gradually transition towards closed-loop systems called Manufacturing Resource Planning (MRP), which integrate materials as well as capacity requirements (Hvolby and Steger-Jensen, 2010). Recent-ly, this has been advanced upon with Enterprise Resource Planning (ERP) and Advanced Plan-ning and Scheduling (APS), which further integrate materials and capacity requirement plan-ning (Gupta and Kohli, 2006; Hvolby and Steger-Jensen, 2010). Essentially, CRP makes use of planned order releases from MRP to estimate work-centre loads. It is the penultimate step prior to detailed production scheduling (Swamidass, 2000).

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