ACHIEVING CAPACITY PLANS: INPUTOUTPUT CONTROL

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ACHIEVING CAPACITY PLANS INPUT/OUTPUT CONTROL

• The CRP Connection
• Planned Input and Planned Output
• Actual Versus Planned
• Cumulative Deviations and WIP

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CORE MRP II
MANUFACTURING RESOURCE PLANNING
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INPUT/OUTPUT CONTROL THE CRP CONNECTION

• Capacity requirements planning
• Estimates capacity needs in each workcenter given
  the material plans
• Input/output analysis
• compares actual to planned capacity
• Manager makes adjustments as necessary

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INPUT/OUTPUT EXAMPLE

• Consider the input/output chart for a single
  workcenter
• 2 workorders, each with a total of 10 DLH run
  setup, are in-process at the workcenter

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FROM CRP STAFFING PLANS TO PLANNED INPUT
OUTPUT

• Planned capacity input to the workcenter depends
  on
• Planned order releases
• Setup run time needed for material plans
• Planned capacity output for workcenter is based
  upon
• Workhours per day workcenter has available

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INPUT/OUTPUT EXAMPLE

• 10 workorders, each with 10 DLH of run and setup
  time, are to be released to the workcenter at the
  beginning of the week

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INPUT/OUTPUT EXAMPLE

• The staffing plan for the upcoming week calls for
  20 hours of available capacity per day

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INPUT/OUTPUT EXAMPLE

• The projected WIP is then readily calculated

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ACTUAL VERSUS PLANNED

• What actually happens may differ from the plan
• Actual input
• Records actual arrival of workorders throughout
  the week
• Quantity based on routing's run setup 
• Actual output
• Records actual departure of workorders throughout
  the week
• Quantity based on routing's run setup

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INPUT/OUTPUT EXAMPLE

• 4 workorders arrive on schedule, but parts
  shortages and problems in upstream production
  prevent the others from arriving

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INPUT/OUTPUT EXAMPLE

• Only 1 workorder is actually completed due to
  unexpected setup problems, but another is started

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INPUT/OUTPUT EXAMPLE

• The actual inventory is calculated, in DLH, and
  compared to the plan

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CUMULATIVE DEVIATIONS

• If actual wip does not match planned wip, need to
  determine cause of the problem output or input
  deviations?
• CDt cumulative deviation in period t
• For input or output deviations,
• CDt CDt-1 Actualt - Plannedt

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INPUT/OUTPUT EXAMPLE

• 0 40 100 - 60

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INPUT/OUTPUT EXAMPLE

• 0 10 20 - 10

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INPUT/OUTPUT EXAMPLE

• No new jobs arrive on Tuesday, but 3 jobs are
  completed

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INPUT/OUTPUT EXAMPLE

• Our WIP is way low whats the problem?

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INPUT/OUTPUT EXAMPLE

• Wednesday brings one more workorder

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INPUT/OUTPUT EXAMPLE

• Thursday brings another job, but were out of
  WIP

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INPUT/OUTPUT EXAMPLE

• Gin rummy time on Friday