The reason for the master's thesis was the unsuccessful production planning system in the company Menina d.d. There were excessive stocks of low-selling products in warehouses, and as a result there was a lack of space for high-selling products. All this led to higher storage costs. Using ABC and XYZ analysis, we classified the products into 111 groups. We analyzed the movement of materials through different warehouses of semi-finished products in production. For each product group, we determined new sizes of batches of products to manufacture. Based on all the analysis and planning needs in the company, we developed a new production planning system which, based on past sales and product production, recalculates when we will have to produce a new batch of an individual product group so that stocks of finished products will always be optimal. The new planning process is faster and more accurate. Analysis of past data provided sufficient information to plan the trend of sales and manufacturing of products. The new planning system also allows procurement decisions to be made jointly by the heads of the production and sales departments.
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