The Improvement Study Of AL Company’ Master Production Schedule And Inventory Control System

Being the largest country producing and selling automobiles throughout the world, China owns a large number of automobile-manufacturing enterprises. Recently, China’s automobile-manufacturing enterprises have been confronting significant challenges posed by intense global competition and constant labor costs increases at home. To survive and develop in such a tough environment, those enterprises have to keep the inventory control balance, reduce costs and enhance efficiency in addition to their efforts in the quick response to market needs by shortening time for delivery.AL, an enterprise mainly producing commercial vehicles with its target market positioned to middle and high-end light truck, is dedicated to the upgrading and updating of the light truck in China via technical progress. It partially succeeded in that AL achieved rapid growth in the middle and high-end light truck industry for five successive years, to be precise, from 2009 to 2013. By 2013, AL’s domestic vehicle sales reached 80 thousand, making it one of the leading brands in middle and high-end light truck. Despite the glorious past, AL’s home sales in these two years have been far from satisfactory. By the end of 2015, sales of commercial vehicles in AL account for 60％of those of last year, and trucks decreased to a startling 30％compared with last year. In response to the tough competition, AL has to promote the production system and shorten time for delivery based on changes in demand so as to guarantee persistent survival and development.For one thing, the thesis is aimed to shorten time for delivery and increase productivity in AL; for another, it is also designed to reason out the causes of the problems in the production system by analyzing the current production system. Besides, the thesis puts forward an improvement plan on the basis of Master Production Schedule directed against improper BOM structure, production planning model as well as purchasing and inventory management. Meanwhile, improvement advice on AL’s software system’s certain functions involved in the improvement plan is also offered so as to further promote the production planning system.