Demand Driven Material Requirements Planning (DDMRP)

orders. Its use of qualified sales orders means that all components of the supply generation equation (on-order, on-hand, and qualified sales orders) are known and contain relatively little variability. This combined with the decoupling point positioning and buffers means that nervousness, supply continuity variability, and the bull-whip effect are mitigated. The net flow equation and net flow position allow for quick, intuitive, and informative views across groups of items, giving a real sense of relative priority and how to best handle that relative priority.

ote that there are three orders all due on the same day (POs 821158, 831145, and 831162).