Define a master production schedule (MPS) and explain how it differs from a final assembly schedule.

A master production schedule (MPS) is a statement of how many finished items are to be produced and when they are to be produced. The purpose of the MPS is to translate the aggregate plan into a separate plan for individual finished goods. It also provides a means for evaluating alternative schedules in terms of capacity requirements, provides input to the materials requirement planning (MRP) system, and helps managers generate priorities for scheduling by setting due dates for the production of individual items. A final assembly schedule (FAS) defines the quantity and timing for assembling subassemblies and component parts into a final finished good.