A theoretical model for optimization of rolling schedule procedure parameters in ERP systems

The rolling schedule procedure has been an important part of the Enterprise Resource Planning (ERP) systems. The performance of production planning in an ERP system depends on the selection of the three parameters in rolling schedule procedure: frozen interval, replanning interval, and planning horizon (forecast window). This research investigated, in a theoretical approach, the combined impact of selections of those three parameters. The proven mathematical theorems provided guidance to reduction of instability (nervousness) and to seek the optimal balance between stability and responsiveness of ERP systems. Further the theorems are extended to incorporate the cost structure.