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An MRP Change Initiative
Part 1 of 4

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This article provides a "head-to-head" comparison of MRP against its most prominent contender, the controversial 3C. Two intrinsically different Material Management^phi-losophies are rigorously tested and compared. Our bench­mark method provides a "yardstick" that could also be used to make further performance comparisons as other alter­natives emerge. Our presentation is based on actual facts and experiences from real businesses and rigorous scien­tific analysis techniques. We intend to provide proof and understanding of the improvements that 3C claims are possible and under what circumstances they can be obtained.

Field experts have addressed the need to revise and possi­bly replace the current MM systems; the need for change is due to the presence of ever-more-demanding customers and aggressive competition. Until now, businesses were relatively safe because, in a strange way, they all were equally affected by the same unfortunate disadvantages; all facing the same problems, suspiciously caused by the increasing inadequacy of the now two-decades old MRP-based systems. Not until recently, however, had anyone yet come up with a better alternative that would change the status of things. This and previous publications attempt to explain 3C which, as of today, is the only serious alterna­tive to MRP.
3C was created with the specific purpose of supporting the MM function of the top-performing businesses that will survive the tough economic battle of the 90's, while getting prepared to benefit from the opportunities of the new century.

3C was designed and developed under a "green-field" framework in which all decisions and actions were ruled by nothing but "good-old" common business principles. First and foremost, the objective was to define and implement an MM system that would give the business a real competitive advantage through two dominant factors: "Total Customer Service" and "rock-bottom Operating Cost." The objective was accomplished by creating and working under an envi­ronment in which challenging traditional wisdom was not only allowed, it was encouraged! We also practised an almost fanatic strive for excellence, simplicity, and transpar­ency and eagerly tried to design fool-proof and self-controlled processes. While almost everyone else would label the frame­work as "motherhood and apple pie," the developers of 3C chose to take the whole issue very seriously. With full commitment, the framework elements were driven and exer­cised at obsessively high radical extremes.

All of a sudden, the existence and justification of every single traditional and institutionalized MM business func­tion was being questioned and meticulously scrutinized. The approach left no stone unturned. Bold and revolution­ary ideas flourished, many MM functions and activities,
traditionally and commonly accepted as critical and neces­sary, simply vanished as 3C evolved. 3C completely reengineered the MM function; the current tedious and frustrating MRP activities are replaced with a radically different type of work that is performed with total focus on Customer Service, Quality and Cost Performance.
3C has now a sustained unquestionable successful 3 years record. We share the latest facts in this paper.

To be Continued

For balance of this article, click on the below link:

Lean Manufacturing Articles and go to Series 01


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