Adjusting MRP for dynamic differentiation of identical items for process customisation

In the make-to-order (MTO) environment, different customer orders often require similar products that share identical basic features but require different customisation processes. To achieve efficiency, these products are often manufactured in a group at the initial stages. A significant issue then emerges as to how to differentiate identical items at the intermediate stages so that they can be dispatched to different kinds of work centres for process customisation. This article adjusts the current material requirements planning (MRP) approach for the MTO mode. A yield-allocating approach is then proposed for adjusting the material demand plans according to real-time process quality information. An approach for dynamically differentiating identical customised items at intermediate stages is then presented. How to implement the proposed methodology in a computer-based environment is also briefly introduced. A case study demonstrates that the proposed methodology can fulfil the dynamical differentiation task and can result in more reasonable differentiation decisions than the traditional MRP approach.