Implementing Material Requirement Planning System in a Food Industry

Abstract

Fresh Food Factory is a member of AL-Mansour Group established in 2014 and located in industrial zone in 6th of October. Fresh Food Factory filled a gap in the market for an upscale and luxurious supermarket, leading to the creation of a niche shopping destination that offers customers a premium and unique culinary experience. Serving over 250 supermarkets, including Kheir Zaman and Metro. Fresh Food Factory offers a diverse range of handcrafted products such as butchery, poultry, bakery items, chocolates, and ice cream. Upon investigating the food production process, significant delays in raw material availability and the failure to meet required order quantities have been identified. Inadequate forecasting techniques can result in shortages or excess raw materials, leading to ineffective process management, while poor inventory control exacerbates these issues. Consequently, deficiencies in these areas contribute to increased costs and customer dissatisfaction. The project aims to implement a Material Requirements Planning (MRP) system to enhance planning, productivity, and order fulfillment while optimizing inventory control and reducing costs. This was achieved through the application of industrial engineering techniques, including ABC Classification, Cause-and-Effect Diagrams, DMAIC, Forecasting, and Material Requirements Planning (MRP). Keywords: ABC Classification, Cause-and-Effect Diagrams, DMAIC, Forecasting, and Material