Use of Information Technology in production manafacturing systems


The emerging global opportunities for the products not only increased the demand for production levels but also increased the emergency to remodel the operations of manufacturing systems. This again requires the tactile performance of all the activities concerned with the manufacturing system through an Information Technology based services (ITES). The worldwide collaborations between supply chain management and manufacturing systems has generated a need to develop a specific Management Information tools (MIS).

One of the most critical and time-consuming aspects of manufacturing is managing

the task of maintaining sufficient amounts of materials on hand at all times. The lack of projections and surplus materials will bring in the break down of production mechanism and collapsed supply levels of finished products. These bottlenecks in the manufacturing industry have brought out the invention of specialized systems like MRP, JIT to enhance the Total Quality management of the production units. These practices have led many Information Technology applications integrated into the Manufacturing system in the form of ERP software.

The IT applications that are to be integrated with the manufacturing systems should address the challenges like,

  1. Plant capacity Problems: Production falls behind schedule due to lack of man power and equipment resources, resulting in Excessive overtime, delays in delivery schedules, back ordering etc.,
  2. Suboptimal production scheduling: Due the lack of clarity in order taking, inefficient scheduling rules, job interruptions arise.
  3. Long manufacturing lead times:  To satisfy the up falls in job assignments, managers allot long hours of working for the machines which results in over load and early depreciation of machines.
  4. Inefficient Inventory control: The shortcomings in work schedules results in disturbed inventory control and the stock in goods, work-in progress-and finished goods will mismatch with the data in hand.
  5. Errors in manufacturing records: The wrong data produced will result in the bills of handling for the buyers and suppliers resulting cost of money.
  6. Quality problems: Quality defects are encountered in manufactured components and assembled products, thus causing delays in the shipping schedules.

Need for the study:

Hence the study tries to identify an effective IT application, which enable the manufacturing unit to lower inventory carrying costs, and which identifies material shortages before the production lines shutdown. One among such applications is Material Requirement Planning, or MRP in terms of IT.

Aim of the Project:

The aim of the research is to observe the ‘Efficiency of MRP application in an integrated manufacturing system’ which closely monitors Master production schedule, Bill of materials file, Inventory record time.


The study intends to observe the convenience offered by the IT application in the following modules of a Manufacturing unit. For this different touch points of the system are identified and the transactions occurring and facilitated through MRP are recorded in the following ways.

Work Orders: Here the research should concentrate on how the MRP is automatically generating the work orders from clients to the supplier.

Automated vendor lists:  The study should observe the efficiency of the vendors in queue to by their contact lists and the order tracking system.

Order tracking system: The study should observe the efficiency of order tracking system by the outside customers

Stock control system: The study should observe how the system is generating information on stock in raw material, work-in-progress, stock in finished good,

Job allotting: The study should observe how the system is automatically allotting the different jobs to different machines and suppliers.

Purchase order: Here the research should observe how the Purchase order is generating in accordance to the levels in warehouse

Bill of order: Here the research should observe the efficiency of the system in generating the Bills of Purchase and bills of landing.

Job scheduling: The study should observe how the scheduling takes place through the system without breakdowns.

Inventory Management: Here the research identifies the automation of Inventory in generating the EOQ and TOC

Demand Projections: The research should observe how the MRP is projecting the sales and demand to fix the work orders.

MIS: The research should observe how efficient is the MRP in creating and automatically distributing alerts and reports to particular departments and mangers.

Use of resources for the study:

  1. Direct observation of Plant layout and process inspection of a MRP using Manufacturing unit
  2. Observation of different trial products on MRP from the sources like & and observing the closer look at their features in manufacturing unit


  1. Prentice Hall.(2001) Mikel P.Groover. Automation Production Systems and Computer-integrated manufacturing.

2.Chi Keung Donald Chan, K.L. Yung, W.H. Ip . ; 10: 5 1999.The implementation of a model for integration of MRP II and TQM . Integrated Manufacturing Systems; pp. 298-305

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http://www. [Accessed 24 may 2005]

  1. other useful links


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