# POM Prof. Tempelmeier GmbH

## Production and Operations Management Consulting.

# Material requirements planning: System of linear equations

The MRP demand explosion problem is solved via the solution of a set of linear equations. The gozinto (bill-of-material) structure can be defined with the graph editor.

Symbols:

i,j | index of products |

a(i,j) | number of units of product i required to produce one unit of the immediate successor product j (value of arc form node i to node j in the gozinto structure) |

d(i) | external demand for product i |

(E-A)^-1 | inverse of the technology matrix; an element (i,j) denotes the total number of units of product i required to produce one unit of product j |

r(i) | total requirement of product i |