Traditional material planning and control system (ERP/MRP and distribution requirements planning systems) are systems in which detailed forecasts are used to procure needed materials and push manufacturing orders through the production and distribution system to the point of consumption.
This system is typically called “Push and Promote”. These legacy rules and systems are causing enormous amounts of friction and compromises within and between manufacturers in today’s more complex and volatile supply chains.
The Demand Driven Institute – founded by Carol Ptak and Chad Smith (Co-Authors of “Orlicky's Material Requirements Planning”) – has developed Demand Driven Material Requirements Planning (DDMRP): a practical, proven and emerging method for supply chain planning and execution that effectively brings the 1950s concept into the modern era. The foundation of DDMRP is based upon the connection between the creation, protection and acceleration of the flow of relevant materials and information and sustained return on asset performance.
Using an innovative multi-echelon “Position, Protect and Pull” methodology, DDMRP helps plan and manage inventories and materials in today’s more complex supply network scenarios, with attention being paid to ownership, the market, engineering, sales, and the supply base. It enables a company to decouple inherent forecast error from supply order generation and aligns production to actual market requirements, while promoting high quality and quicker decisions and actions at the planning and execution level.
DDI offers the following certifications:
- DDFPTM – Demand Driven Fundamentals Professional
The Demand Driven Supply Chain Fundamentals (DDSCF) workshop is designed to introduce individuals working in all areas of an organization to the conceptual differences between conventional supply chain approaches and the emerging flow-based approaches.
- DDPPTM – Demand Driven Planner Professional
The Demand Driven Planner (DDP) program is designed for planning, purchasing and supply chain personnel responsible for implementing and maintaining a DDMRP implementation. Designed by the leading authorities on DDMRP at the Demand Driven Institute, the Demand Driven Planner program is comprised of 13 modules of in-depth DDMRP education. The DDP Program is THE official preparatory course for the Demand Driven Planner Professional (DDPPTM) Certification test.
- DDLPTM – Demand Driven Leader Professional
The Demand Driven Leader (DDL) program equips senior and mid-level operations and supply chain managers with the ability to design, implement and sustain a Demand Driven Operating Model including parameter settings through Demand Driven S&OP (DDS&OP). Designed by the leading authorities on Demand Driven methods at the Demand Driven Institute, the Demand Driven Leader program is comprised of 7 modules of in-depth Demand Driven education. The DDL Program is THE official preparatory course for the Demand Driven Leader Professional (DDLPTM) Certification test.
PMI offers exam preparation seminars for DDPPTM and DDLPTM. DDFPTM seminars will follow. Learn more about this in the courses
Additional input about DDMRP in the Video What is DDMRP?