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production planning and control

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Title: production planning and control


1
Production Planning Control
  • An Introduction

2
The Concept
  • Planning consideration of all input variables to
    achieve predetermined output goals a
    pre-production activity to determine optimal
    production schedule, operation sequence, economic
    batch quantity, etc.
  • Control remedial action to prevent variance of
    output from planned levels tracking operations
    to ensure compliance with planned levels

3
Production Planning Stages
  • Defining objectives
  • Setting priorities to attain objectives
  • Examining internal external environments of
    planned system
  • Determining achievable targets
  • Determining inputs needed to achieve targets

4
Objectives
  • Effectiveness goods to fulfill customers needs
  • Maximising output maximum output with minimum
    input
  • Quality control Product/service quality meets
    planned quality specifications
  • Minimise throughput time conversion of RM to FG
    in minimum time

5
Objectives (continued)
  • Capacity full utilisation of men machines
  • Minimise cost minimum cost of production
  • Maintaining inventory optimal inventory
  • Flexibility flexibility in production operations
  • Coordination between men machines

6
Objectives (continued)
  • Capacity plan for current future needs
  • Reduce bottlenecks solve production problems
    early
  • Maximise profit minimise cost
  • Production schedules as per plan
  • Routes schedules to optimise use of men,
    material machinery
  • Maintain performance maintain standards

7
Functions of Production Planning
  • Product selection design
  • Process selection planning
  • Facility location
  • Facility layout materials handling
  • Capacity planning
  • Systems procedures
  • Estimating quantity/costs of production, men
  • Routing operation sequence
  • Job scheduling loading

8
Functions of Production Control
  • Inventory control MRP JIT
  • Time management
  • Quality control
  • Maintenance Replacement
  • Cost reduction cost control
  • Dispatch
  • Expediting/Follow-up/Progressing

9
Scope of Production Planning Control
  • Material RM, components, spares right quantity
    right time
  • Methods
  • Machines equipments
  • Manpower
  • Routing
  • Estimating
  • Loading sceduling

10
Scope of Production Planning Control (continued)
  • Dispatching
  • Expediting
  • Inspection
  • Evaluating
  • Cost control

11
Phases in Production Planning Control System
  • Planning Pre-planning product planning
    development demand forecasting resource
    planning facilities planning plant location
    layout
  • Active planning quantity
    planning product mix routing scheduling
    material planning process planning capacity
    planning tool planning

12
Phases (continued)
  • Action phase execution dispatching progress
    function
  • Control phase status reporting material
    control tool control inventory control quality
    control labour output control cost control

13
Benefits of Production Planning Control
  • Higher quality
  • Better resource utilization
  • Reduced inventory
  • Reduced manufacturing cycle time
  • Faster delivery
  • Better customer services
  • Lower production costs

14
Benefits (continued)
  • Lower capital investment
  • Higher customer service
  • Improved sales turnover
  • Improved market share
  • Improved profitability
  • Competitive advantage
  • Flexibility
  • Dependability
  • Lower prices

15
Limitations of Production Planning Control
  • Based on assumptions
  • Resistance to change
  • Time consuming
  • Difficult due to rapid environment changes

16
Measuring Effectiveness of Production Planning
Control
  • Delivery
  • Inventory levels
  • Production/Operations Management

17
Requirements for Effective Production Planning
Control
  • Sound organisational structure
  • Delegation of authority
  • Reliable, up-to-date feedback
  • Standardisation
  • Trained people
  • Flexibility to adapt
  • Appropriate management policies
  • Accurate assessment of manufacturing/procurement
    lead times
  • Adequate plant capacity

18
Techniques
  • Planning Control of Reserves
    deterministic/non-deterministic systems
  • Network analysis
  • PERT Project Evaluation Review Technique
  • CPM Critical Path Method
  • Reliability Theory probability
  • Series structure 1 2
  • Parallel structure 1
  • 2

19
Planning Control in Different Production Systems
  • Job Production
  • Difficult no standardised routing of job
    orders
  • Orders assigned to workstations as available
  • Scheduled on relative priority of job order
  • Scheduled on assessed production times
    estimates of judgement

20
Different Production Systems (continued)
  • Batch
  • Produced once
  • Repeated at irregular intervals as needed
  • Produced periodically at known intervals
  • Solution depends on
  • External customers orders
  • Internal consumption sub-assembly
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