A group project from my supply chain management program that quickly reviews how GSK builds their master production schedule.

1. Insights into the Supply Planning
Process
Courtney Clark, Jan Szydlowski, Sergio Rivera
Claudia De Bourg, Daniel Schwartz, Rex Agbajor
Supply & Demand
Group #2
The MPS at
GlaxoSmithKli
ne

2. Agenda
 Company Overview
 Operations
 Supply Planning Process
 Master Production Schedule (MPS)
 Q&A
2

3. Company Overview
 GSK Focus
 Pharmaceuticals
 Vaccines
 Consumer Healthcare
(GSK Canada, 2014)
3

4. Company Overview
 GSK Targets
 Respiratory Illnesses
 Diabetes
 Viral Control
 Infections
 Central Nervous System Disorders
 Scale of GSK
 99 000+ employed
 Operating in 115 countries
 CAD $47 billion annual revenue in 2013
4

5. Operations
 GSK Mississauga Facility
 Sells exclusively to internal GSK customers
 Produces liquids, tablets and ointments
 Components of Finished Goods
 Active Pharmaceutical Ingredients (API) -
substances that are responsible for the beneficial
health effects
 Excipients – preservatives / stability materials
 Primary and Secondary Components - packaging
5

6. Supply Planning Process -
Demand
 Forecasts for:
 USA (Mainly)
 Latin America
 Parts of Asia
(I.e. Japan)
 Parts of
Europe
 Canada
(<10%)
 Family Level
(J. Shang et al. 2008)
6

7. Supply Planning Process –
S&OP
 Vital
component of
the process
 Integrates all
departments
 Shapes
demand inputs
for MPS
7
(J. Shang et al. 2008)

8. Supply Planning Process –
Inventory
 Raw Materials
 Highly perishable
 Expensive
 Major Risk
 Finished Good
 Not inventoried
 Longer shelf life
 Distributor carries
risk
 Must be monitored
very closely
through ERP
8
(J. Shang et al. 2008)

9. Supply Planning Process
(J. Shang et al. 2008)
*Continu
ous Loop
9

10.  Key Role “Functional Areas”
 Safety Stock
10
Master Production Schedule

11. INPUTS
SAP
OUTPUTS
11
Master Production Schedule
(J. Shang et al. 2008)

12. RUNNING
RATES
DEMAND
PLANNER
-FC ERRORS
-OUTLIERS
-
CONSTRAINT
S
MPS
12
Master Production Schedule

13. 13
Thank You
Q&A