Improving Inventory Levels by Changing from Traditional MRP to Demand Driven MRP (DDMRP) in Food Sector Companies in Mexico

This thesis seeks to analyse the change in inventory performance, service level and Return of Investment (ROI) in the Food Industry in Mexico, when companies change from Traditional MRP to Demand Driven MRP in the supply chain planning. Using Crisp DM methodology, based on an analytical approach, a simulator was created and simulations were conducted to compare both methodologies and models across 3 different companies and products portfolios. Additionally, this investigation addresses value in environmental matters, since there is a feasible inventory reduction, the amount of waste could be drastically reduced. On the other hand, this simulation process is aligned with Industry 5.0 principles, with a human centric approach, intended to be used on further investigations that helps with the promotion and the spread of the Demand Driven Methodology within the Mexican Food Industry. The thesis contributes practical evidence for organizations seeking data-driven, financially viable, and responsible inventory strategies.