Production Planning

1
Production Planning Control

• Production planning and control is the
  organization and planning of the manufacturing
  process.
• It co-ordinates supply and movement of materials
  and labor, ensures economic and balanced
  utilization of machines and equipment as well as
  other activities related with production to
  achieve the desired manufacturing results in
  terms of quantity, quality, time and place.

2
Production Planning Control

• There are three stages in PPC
• Planning The choice from several alternatives
  of the best utilizing the available resources to
  achieve the desired objective .
• Operations Performance in accordance with
  details set out in production plan.
• Control The monitoring of performance through a
  feed back by comparing the results achieved with
  planned targets so that performance can be
  improved. .

3
Objective of PPC

• To deliver goods in required quantities to
  customers in required delivery schedule.ion
• To ensure maximum utilization of all resources
• To ensure production quality products
• To minimize the product throughput time
• To maintain optimum level inventory
• To maintain flexibility in manufacturing
  operations
• Coordinate between labour and machines and
  various supporting departments

4
Functions of PPC

• Routing
• Estimating
• Scheduling
• Loading
• Dispatching
• Expediting
• Evaluating
• Inventory Control

5
Levels of PPC

• Strategic Planning(Long range) It is process of
  thinking though the organizations current
  mission and environment and setting a guide for
  future decisions and results. e.g. Technology
  forecasting and choice of appropriate technology
  for the long range time horizon.
• Tactical Planning(Intermediate Range) It is done
  over an intermediate term or medium range time
  horizon by middle level management. These plans
  focus on aggregate products rather than
  individual products.
• Operational Planning(Short Range ) It is done
  over a short range time span developed by junior
  level management. It is concern with utilization
  of existing facilities rather than creation of
  new facilities.

6
Benefits of PPC

• PPC coordinates all the phases of production /
  Operating system
• An efficient plan results in higher quality
  ,better utilization of resources, reduced
  inventories, better customer services.
• An efficient plan enable the firm to improve its
  sales turnover , market share and profitability.

7
Limitations of PPC

• PPC function is based on certain assumptions or
  forecasts of customers demand, Plant capacity,
  availability of materials etc
• Employee may resist change in production levels
  set as per production plans.
• This process is time consuming when we need to
  carry out routing and scheduling function for
  large products.
• This function become difficult when environmental
  factors changes rapidly.