Capacity requirements planning (CRP) is a methodology used to calculate the production capacity needed to meet planned and actual demand. CRP considers both current and projected demand to ensure that manufacturing capacity meets future needs. Manufacturers can avoid over- or under-producing goods by using CRP, leading to excess inventory or stockouts.
CRP is typically performed regularly to keep up with changes in demand. Many software applications exist to help with this process by automating data collection and analysis. Capacity planning is essential to effective production management and can help businesses remain agile and responsive to market conditions.
Related Blog Articles
Implementing ERPs in manufacturing companies - Tips and Considerations
Are you considering implementing an ERP in your manufacturing company? It's a big decision, and there's much to consider. But don't worry - we're here to help. This blog post will share tips and tricks for making the most of your ERP implementation. Whether you're just starting or you've been working with ERPs for years, we hope you'll find these tips helpful. So let's get started!
Fresh, Fast & Future-Proof: The Smart Way to Produce Dairy
Milk production is one of the most demanding sectors in food manufacturing, where quality, consistency, and safety are non-negotiable. Unlike other industries, dairy processing requires precise control over every stage - from raw milk intake to packaging - to maintain strict hygiene standards and ensure uniform product quality. This level of precision is only possible through advanced automation and data-driven decision-making. That’s where SIX ERP comes in. By integrating real-time...
Smart Factories for Smart Snacks: How SIX ERP Transforms Food Production
As the CEO and mastermind behind our ERP implementations, I’ve seen firsthand how manufacturing is evolving. It’s no longer just about efficiency - it’s about intelligence, adaptability, and staying ahead of the curve. At SIX ERP, we don’t just implement software; we engineer smart, scalable solutions that transform production lines into data-driven, automated ecosystems.One of our most exciting challenges? Equipping a new potato chips factory with a fully automated, sensor-driven...Want to see SIX for yourself?
Need help, have questions or want to get a free demo?
Please read our Privacy Policy on how we process personal data. We will never share your data!
