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Ranks of MRP II users grow.

Ranks of

MRP 11

users grow

More and more managers in manufacturing are turning to manufacturing resource planning (MRP 11) to keep their companies competitive. The evidence: MRP 11 software sales continue to climb sharply upward. The source: a new study of this software industry by Market Intelligence Research Corp. (MIRC), Mountain View, Calif.

MIRC estimates that more than 45,000 MRP 11 systems were in place in the U.S. in 1989. From that installed base among American manufacturers, the market research firm expects to see rapid growth.

MIRC estimates there were 9,593 new installations (shipments of MRP 11 software packages) in 1989. In 1991, an estimated 12,861 MRP 11 software packages will be sold, up 15% from the 11,181 units purchased last year. This year's software purchases are expected to total nearly $1.6 billion.

Larger companies-typically those with sales of $150 million or more yearlyusing mainframe-based MRP 11 software are applying this management tool extensively, according to MIRC. Some 80% of these manufacturing companies have installed MRP 11.

Minicomputer- and microcomputer-based MRP 11 software applications are becoming more prevalent, however, for several reasons:

The increased capabilities of mini- and microcomputers-including more memory and faster processing speeds.

The ability to tie personal computers (PCs) together through local area networks (LANs).

The potential to link MRP 11 to other Integrated-manufacturing applications. With more powerful PCs and LANs, MRP 11 software can use a common database and link several manufacturingapplications together "for a fraction of the costs associated with larger minicomputeror mainframe-basedpackages," MIRC points out. Smaller manufacturers-those with sales up to $25 million-are more likely t apply MRP 11.

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Title Annotation:manufacturing resource planning
Publication:Modern Materials Handling
Date:Jun 1, 1991
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