Master Production Schedule or MPS is a key planning process in industrial production. It aggregates a large number of variables (customer demand, capacity levels, inventory levels, etc.) and determines what to produce, in what quantity and at what frequency.
It allows you to implement the supply plan generated in the Sales & Operation Planning – S&OP process through a detailed production program of one or more product lines. It is a major input for the MRP or Material Resource / Requirements Planning process. This planning process involves establishing a master plan through the breakdown of supply plan data, orders planning and orders execution, while adhering to inventory objectives and minimizing investment in storage capacity.