Demand Driven Material Requirements Planning (DDMRP), Version 2. Carol Ptak

front part of the manufacturing process and supplier, respectively. Second, demand variability is not an issue with this product, as large orders are typically known in advance. And third, the buffer at FPE minimizes short-range capacity contention in resources S and T that could affect the ability to consistently achieve the three-day lead time for FPF.

      

The decoupling points at 204P and 205P allow supplier variability to be isolated from the concurrent manufacturing processes in front of resource Z, thus minimizing as much as possible from a product structure perspective the variability experienced at resource Z as an assembly operation. More can be done to protect resource Z, but those options are outside the scope of decoupling point considerations. For example, a time buffer can be used in advance of resource Z in order to allow for components to be synchronized effectively. This, however, is at the scheduling and execution level of the Demand Driven Operating Model.