1 Identify at least three specific requirements of an effect

1. Identify at least three specific requirements of an effective MRP system.

2. Define these three types of bills of material (BOM)?

`Phantom BOM

`Planning BOM

`Pseudo BOM

Solution

Requirements of an effective MRP system

Phantom BOM: As the name suggests Phantom Bills of material is a method for moving around a group of items under one component number. It is a subassembly that is assembled only to be included in another assembly.

Planning BOM: Planning Bills of material are made for easy implementation of sales forecast schedule. Planning BOM carries all the items required to manufacture one finished product.

Pseudo BOM: Pseudo Bille of material is made for the purpose of planning. In this, items which are not tangible in nature mentioned.