ABSTRUCT

This research aims at examining the expected gap between the fact of planning and controlling process of production at the State Company for Electric Industries and implementation of material requirements planning system in fuzzy environment. Developing solutions to bridge the gap is required to provide specific mechanisms subject to the logic of fuzzy rules that will keep pace with demand for increased accuracy and reduced waiting times depending on demand forecast, investment in inventory to reduce costs to a minimum.

The proposed solutions for overcoming the research problem has required some  questions reflecting the problem with its multiple dimensions, which are in essence the possibility of employing fuzzy sets theory to remove high levels of uncertainty in demand, lead times , and  in the total cost of the electric motor for air coolers (consisting of fifty-six part) during the time period between (2/1/2014) and (15/1/2015), and to increase the effectiveness of material requirements planning system for achieving its goals more efficiently.

In order to answer the research questions, fuzzy time  series technique has used for estimating demand and its expected change rates.IF-THEN rules has also been used with their linguistic variables and experts opinions at the company studied after being converted to probability matrices reflecting the variation of lead times owing to demand levels fluctuations and its indicator. Furthermore, IF-THEN rules has also been used for estimating fuzzy inventory costs.

The required mathematical and quantitative analyses of research data have conducted using a number of statistical packages (Win Qsb, SPSS, Matlab).

The final results confirmed the applicability of fuzzy sets theory to reduce the effects of environmental variability facing the company studied in areas of demand, lead times and inventory costs . Moreover, it has reached to a result indicating the possibility of using  modern techniques in controlling demand and inventory fluctuations via material requirements planning system in fuzzy environment that provide a proposed solutions to the research problem and specific answers on the research questions, Research recommendations have raised the necessity of remove the vagueness and uncertainty accompanying the Iraqi production environment by employing fuzzy sets theory applications for ensuring the effective application of material requirements planning system within fuzzy environment.