A study of production management system with MRP

In conventional studies of MRP systems, the critical ratio rule has generally been used as a characteristic for deciding operational priorities. This rule is based on the time that remains before the due date. In this paper, a new characteristic and a new priority rule are proposed in order that some defects of the critical ratio rule can be overcome. The new rule considers both backorders and items that are outstanding. An example is used to demonstrate the superiority of the new rule.