Abstract - Toimplement a company can quickly respond customer order and ensure thereliability and optimality of the promise, we develop an allocated available topromise (AATP) model based on capacity to promise (CTP) for two stageproduction system. Addressing some disadvantages of CTP in quick responsecustomer’s order and global optimality, this model allocates future capacity toforecasted demands by considering company’s object, material supply, productionresource and market demand. The model offers AATP to customer salesrepresentatives and offers the material requirement plan and the capacityrequirement plan to guarantee a reliable order promise. This model can supportquick, reliable and optimal order promise decisions.
Keywords - Capableto Promise (CTP), Allocated Available to Promise (AATP), Two-Stage Production
I. INTRODUCTION
Theeconomic globalization and the e-business make customer can select suppliers inthe global with lower costs, and require their orders to be responded quickly.If a company can not quickly respond customers’ orders or can not deliverproducts in time, they may lose customers (Stadtler, 2005). Therefore, theability in quickly providing a reliable and optimal “available to promise”(ATP) becomes the precondition to obtain the core competencies for companies.
In the mode of make to stock (MTS), the uncommittedportion of a company's inventory and planned production, maintained in themaster schedule, are taken as ATP[1]. With the transformation of production mode from MTSto make to order (MTO), researchers extend the ATP concept and present“capacity to promise (CTP) ” and “allocated available to promise (AATP)”. WithCTP, a company promises customers’ orders based on the capability of materialsupply, production and transportation resource, and with AATP, a companyallocates production quota for different customers in advance. Taylor et al.put forward an approach for calculating ATP called as “finite capacitypromising (FCP) ” [2]. Through a continuous monitoring of the resourcecapacity over the schedule horizon, FCP figures out the order due date. Underthe circumstance that the order due dates are specified by the customers, Jeonget al develop an ATP model for allocating customers’ orders to unused capacity [3]. Xiong et al. present a decision support systemapproach to calculate ATP[4]. They develop a heuristic approach to respond onespecific order andseveral at a time, respectively. Zhao etal. develop the ATP system with mixed integer programming model to promise allorders that arrive within a pre-determined batching interval [5].