Production, Capacity And Material Planning Page 6
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60Master Production Scheduling
MTS
produces in batches
minimizes customer delivery times at the expense of holding finished-
goods inventory
MPS is performed at the end-item level
production starts before demand is known precisely
small number of end-items, large number of raw-material items
MTO
no finished-goods inventory
customer orders are backlogged
MPS is order driven, consisits of firm delivery dates
Production Management
105
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Parent category: Business