Production and Material Requirements Planning

  • Dmitry Ivanov
  • Alexander Tsipoulanidis
  • Jörn Schönberger
Part of the Springer Texts in Business and Economics book series (STBE)


In this chapter, the sales and operation planning (S&OP) concept is presented. It starts with an introductory case-study considering sales and operation planning at a petrochemistry company. At the beginning, different planning horizons and the role of aggregate planning are discussed. Afterwards, different options of matching demand and supply at an aggregated level are explained. Next, the rolling planning concept is introduced. Subsequently, the concept of the master production schedule (MPS) is presented. We learn how to apply linear programming methods to production planning. Finally, the principles of exploiting the bill-of-materials are discussed in order to learn how to compute dependent material requirements taking into account the lead time. This chapter is accompanied by an E-Supplement providing additional case studies, Excel templates, tasks and video streams.


Lead Time Product Family Operation Planning Demand Forecast Customer Order 
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Reference for Sect. 12.1

  1. SIBUR (2013)

Copyright information

© Springer International Publishing Switzerland 2017

Authors and Affiliations

  • Dmitry Ivanov
    • 1
  • Alexander Tsipoulanidis
    • 1
  • Jörn Schönberger
    • 2
  1. 1.Department of Business AdministrationBerlin School of Economics and LawBerlinGermany
  2. 2.Faculty of Transportation and Traffic Science “Friedrich List”Technical University of DresdenDresdenGermany

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