PRODUCTION PLANNING AND CONTROL

It is the function which plans, directs and controls the material supply and processing activities of a business so that specified products are produced by specified methods to meet an approved sales programme using the available resources to the best advantage.

Introduction
Production planning implies formulation , coordination and determination of activities in a manufacturing system necessary for accomplishment of desired objectives whereas production control is the process of maintaining a balance between various activities evolved during production planning providing most effective and efficient utilization of resources.

Objectives of PPC
Determining various inputs to manufacturing the desired output. Co-ordinate labour, machines, and equipment in effective and economic way. Establishing targets and checking these against performance

Ensuring smooth flow of materials removing bottle necks.

To manufacture the desired output of right quantity and quality at right time.

Importance of PPC
Reduces cost of production by minimizing wastage of material and economic utilization of resource. Leads to lower investments by means of efficient and balanced utilization of resources. Promotes employee morale by avoiding all sorts of bottlenecks. Enhances customer satisfaction and confidence.

Scope of PPC
Liaison with purchase dept Liaison with marketing dept to determine the nature and magnitude of the output. To plan the layout of the operations indicating in detail the place or point where various production activities are taking place. Establishing the time schedules for various stages /levels of production. Ensuring continuous inspection over quality of goods manufactured.

Production Planning
Pre-requisite for production planning is decision regarding the method of production .i.e. pre- planning about the type of product and its design and the amount of output. Deals with setting up of production facilities viz. building, machine equipment etc.in available place. Levels of Production planning 1)Factory Planning 2)Process planning 3)Operation planning

Factory Planning: At this level, planning is done in terms of building

,machines, and equipments required for manufacturing the desired goods and services. This stage deals with plant location and layout.

Process Planning: Operations are located and the sequence of these

operations in the production process is determined. Plants are also made for layouts of work centers in each process.

Operations Planning: Planning the details of the methods required to

perform each operation viz. selection of work centre, designing the tools and required time for completion of each operation .

Objectives of Production Planning

Systematic coordination and regulation of various activities keeping in view the capacity of resources and the objectives of the organization. To maintain proper balance of activities for efficient production. Determination of raw material, machines, equipment etc.and other inputs requirement . Anticipation of business changes and reacting to them in proper manner. Optimum use of resources with optimum cost and time Alternative production strategies in case of emergencies.

PRODUCTION PLANNING PROCEDURES

Production control is composed of a sequence of five activities

1. 2. 3. 4. 5.

Analyzing Forecasting Planning Routing Controlling

ANALYZING
Is the process of determining the quality specifications of the product. The analysis provides the specifications for the fallowing elements of production Raw material Production equipment and tools; Production personnel

ANALYZING
This presents the quality measuring scale for the product. The analysis also gives the basis of quantitative production capacity of each operation, job, or process. This is one of the requirements for forecasting the anticipated load of production per unit time.

FORECASTING

Forecasting is the process of estimating the future sales volume, the rate of sales, and the rate of delivery.

Planning (organizing and scheduling):

Planning is the activity of organizing the sequence of communications and material processing. Every production process must be initiated or curtailed by some communication. Without such governing devices there could be no precision scheduling. Scheduling is the second half of the planning activity; it adds the "when" to organizing "what" and "where"

Routing

Routing consists of assigning the "who" to planning and executing the what, where, and when.

Controlling
Controlling is the activity with which the production manager inspects and corrects the execution of the production plan. It is the action that must be taken to change the plan whenever production is behind the planned schedule because of improper planning, unforeseen emergencies, or unpredicted occurrences.

Production Planning Procedures

Production planning procedures can be classified into three types.

1)Routing: prescribes the sequence of operations required to transform inputs into desired outputs.
2)Scheduling: when and where each operation of production process is to be performed. 3)Loading: Studies relationship between load and capacity of work centers in the system.

Routing of a production order contains a complete description of items to be manufactured, details of each operation involved in the process, the setup time and the standard time required to complete the work. It also determines the type of machine required and the alternative machines in case of emergency.
Routing consists of : 1)whether to make or buy. 2)Form and shape of the material. 3)Division work to be done into operations. 4)Choice of machines on which each operation should be done. 5)The sequence in which operations should be done. 6)Choice of special tooling.

Route sheet
Manufacturing Drawing No: Date of completion order no: Description of item: Remarks: . No of pieces on order Spoilage allowance Total items to produced ................................................................................................................ Material Description Quality of material allotted. Stores requisition No. Purchase Order No. Due Date. Setup time/lot operation No. Tool description Time allowance.

Advantages of Routing are:

1)efficient use of available resources. 2)reduction in manufacturing costs 3)improvement in quantity and quality of the output 4)Provides a basis for scheduling and loading.

Scheduling
Scheduling is the process of prescribing when each operation in a production process is to be executed. Scheduling involves establishing the amount of work to be done and the time when each element of work will start. In other words Determination of time that is required to perform each operation and also the time required to perform the entire series as routed is scheduling.

Objectives of scheduling:
1)to plan the sequence of work such that delivery date is met. 2)to have minimum through out time for having better utilization of resources. 3)to minimize idle time of machines, labour,etc.for having maximum utilization of plant and reducing the cost of wages. 4)to prevent unbalanced allocation of time among various departments and work centres.

Classification of scheduling.
1)Operation Scheduling: This determines the total time required to do piece of work with a given machine or process. 2)Master Schedule: How many of each item to make in each period of time. 3)Sequential Scheduling: This is done to define a sequence for a multi product plant which pass through a number of departments. Scheduling Devices: Scheduling can be classified as queuing problem with following criteria: 1)Each job joins the end of the queue with first in first out priority. 2)Job with the longest duration always goes first. 3)Jobs may be ranked according to earliest delivery date.

Loading : This will give the complete and correct information about the number of machines available and their operating characteristics such as speed, capacity etc. Objectives : capacity 1)to plan new work orders on basis of spare capacities. 2)to balance the work load 3)to maintain the delivery promises. 4)to check the feasibility of production programs.

PRODUCTION PLANNING DEPARTMENT .

Section A

Section B

Section C

Collection And recording of information

Planning schemes and Operations using the collected Information in shapes of charts

Translates the recommendations of section B in Practices

Production Control
Planning only outlines some course of actions whereas control is an execution process involving standardization, evaluation and corrective functions.

Objectives of Production Control: 1)provision of raw material,equipment,machines and labour. 2)to organize production schedule in conformity with the demand forecast. 3)economic production runs with a view to reduce setup cost. 4)to ensure regular and timely supply of the raw materials at the desired place and of prescribed quality and quantity to avoid delays in production. 5)to perform inspection of semi-finished and finished goods use quality control techniques to ascertain that the produced items are of required specifications.

Levels of Production control : 1)Programming: Programming regulates the supply of finished products in desired amount at the due date in accordance with the production plan. Objectives of production programming: 1)reliable delivery to the customer: This depends on achievements of output target as per production plan and on quoting the customer achievable delivery dates.

the production any product is said to be complete

1)When last operations in the sequence is completed.

2)product has passed through final inspection.

3)it has been dispatched.

Ordering: process of placing order to the suppliers and the purchasing dept for the material and other parts needed to manufacture the product and to arrange the ordering quantity and delivery schedule in such a way that all items are delivered in time to meet the production programming.