Comprehensive coverage of MPC in theory and practice
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It remains for others better qualified than I am to determine whether or not this book is "the definitive guide for professionals" but I do consider it to be one of the most informative and one of the most valuable I have read thus far. The comments which follow focus on the Fifth Edition (2005) in which the co-authors (Thomas E. Vollman, William L. Berry, D. Clay Whybark, and F. Robert Jacobs) update, supplement, or delete material from previous editions as well as add new concepts "in response to changing needs." They also explain that they revised the basic organization of their book "in response to changes in the environment in which manufacturing planning and control (MPC) systems operate."
For example, the implementation of enterprise resource planning (ERP) systems and the continuing decentralization of decision-making to the factory floor. The environment has also become more complicated by the proliferation of globalization initiatives. As a result, the authors note, "the interconnectedness of manufacturing firms has increased substantially. The implication of this is that companies are now often integrated as customers of their suppliers and integrated with customers whom they supply in complicated ways. This has created the need to manage some very complex supply chains or networks." Vollman, Berry, Whybark, and Jacobs produced this Fifth Edition in response to changes such as these.
Of special interest to me is the material provided in Chapter 4, "Enterprise Resource Planning (ERP) - Integrated Systems." For various reasons that the authors cite, it is highly desirable, in fact imperative that decision-making be centralized if the given system is to take full advantage of economies of scale. Redundant transactions must be minimized, if not eliminated. With regard to knowledge management, information must be captured at the source, with any process of transactions fully documented. (Many senior-level executives express the same exasperation: "If only we knew what we know!") In fact, all processes must efficiently support the data needs of the ERP system. Hence the importance of communication, cooperation, and especially, collaboration at all levels and within all areas of the given supply chain. Moreover, a set of performance measures must be formulated in coordination with appropriate policies, procedures, and objectives. Economies of scale can also be achieved if fewer software and hardware platforms are needed during ERP implementation.
Credit the authors with their effective use of various reader-friendly devices as they present their material. For example, check out the Brief Contents and Contents pages that offer an uncommonly specific explanation of what is covered in each chapter. (The latter is the most detailed I have as yet encountered in a business book.) Also, the recurring sections (e.g. Company Examples, Concluding Principles, and References) at the conclusion of most chapters. Many readers will probably refer to the Contents more often than to the Index.
Although this volume will probably be most valuable to those enrolled in business courses and especially if preparing for certification by the Association for Operations Management, I think it will also be of interest and value to those about to embark upon or are now involved in process improvement initiatives. Some of the best opportunities to eliminate waste while increasing efficiency and productivity can be found within a supply chain.
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