THIS BLOG IS ABOUT PRODUCTION PLANNING AND CONTROL.
Production planning and control is a tool available to the management to achieve the stated objectives.Thus, a production system is encompassed by the four factors. i.e, quantity, quality, cost and time.
Production planning starts with the analysis of the given data, i.e., demand for products, delivery schedule etc., and on the basis of the information available, a scheme of utilization of firms resources like machines, materials and men are worked out to obtain the target in the most economical way.Once the plan is prepared, then execution of plan is performed in line with the details given in the plan. Production control comes into action if there is any deviation between the actual and planned. The corrective action is taken so as to achieve the targets set as per plan by using control techniques.
Thus production planning and control can be defined as the “direction and coordination of firms’ resources towards attaining the prefixed goals.” Production planning and control helps to achieve uninterrupted flow of materials through production line by making available the materials at right time and required quantity.
Objectives
of production planning and control
1. To deliver quality goods in required
quantities to the customer in the required delivery schedule in order to
achieve maximum customer satisfaction.
2. To ensure optimum utilization of
resources/materials.
3. To minimize the
production/manufacturing cycle time.
4. To maintain optimum inventory
levels.
5. To schedule production facilities in
optimum manner.
6. To coordinate the activities of
different departments relating to production to achieve regular, steady and
balanced flow of production.
7. To ensure confirmation of delivery
commitments.
8. To ensure production of quality products.
9. To keep the plant free from
production bottleneck.
10. To ensure effective cost reduction
and cost control.
11. To evaluate the performance of
various shops & individuals.
12. To develop alternative plans
inorder to meet any emergency or contingency.
13. To maintain spare capacity to deal
with rush orders.
FUNCTIONS OF PRODUCTION PLANNING AND CONTROL
Functions of production planning and controlling is
classified into:
1. 1. Pre-planning
function
2. Planning function
3. Control function
2. Planning function
3. Control function
1. PRE-PLANNING FUNCTION
Pre-planning is a macro level planning and deals
with analysis of data and is an outline of the planning policy based upon the
forecasted demand, market analysis and product design and development. This
stage is concerned with process design (new processes and developments,
equipment policy and replacement and work flow (Plant layout). The pre-planning
function of PPC is concerned with decision-making with respect to methods,
machines and work flow with respect to availability, scope and capacity.
2.PLANNING FUNCTION
The planning function starts once the task to be
accomplished is specified, with the analysis of four M’s, i.e., Machines,
Methods, Materials and Manpower. This is followed by process planning
(routing). Both short-term (near future) and long-term planning are considered.
Standardization, simplification of products and processes are given due
consideration.
3.CONTROL FUNCTION
Control phase is effected by dispatching, inspection
and expediting materials control, analysis of work-in-process. Finally,
evaluation makes the PPC cycle complete and corrective actions are taken
through a feedback from analysis. A good communication, and feedback system is
essential to enhance and ensure effectiveness of PPC.
The functions of PPC can be explained with the following parameters:
1.
Materials
The
purpose of this function is to ensure correct start and end of each operation
by providing raw materials, finished parts and semifinished components at
required quantities and at required time for uninterruptedproduction process. This
function includes the specification of materials, delivery dates,
variety reduction (standarisation) procurement and
make or buy decision.
2.
Methods
The
purpose of this function is to find the best method of processing from the
several alternatives. It also includes determining the best sequence of
operations and planning of tools, jigs and fixtures etc.
3.
Machines and equipment
This
function is related with the detailed analysis of available production facilities,
equipment downtime, maintenance policy procedure and schedule. It is also
concerned with economy of Jigs & Fixture, equipment availability.Thus the
duties include the analysis of facilities and making their availability with
minimum downtime because of breakdowns.
4.
Routing (Process Planning)
Routing
means determination of path or route on which manufacturing operations will
travel. It also establishes the sequence of operation to be followed in
manufacturing a particular product. Generally route path is determined in
advance. The several activities in routing/process planning includes
1.
Fixation of path of travel.
2.
Breaking down of operations to define each operation.
3.
Deciding the setup time and process time for each operation.
5.
Estimating
This
function is concerned with estimation of operation time. The operation time can
be worked out, once the overall method and sequence of operation is fixed and
process sheet for each operation is available.
6.
Loading and Scheduling
Allocating
the jobs to the individual machine is known as machine loading. The purpose of
this function is to load the machine according to their capability of
performing the given task and according to their capacity. Scheduling is
concerned with preparation of machine loads and assigning starting and due
dates for each of the operation.
Here,
the duties include:
1.
Loading the machines as per their capability and capacity.
2.
Determining the start and completion time for each operation.
3.
Coordinating with sales department regarding delivery schedules.
7.
Dispatching
Dispatching
is the part of production control that translates the paper work into actual
production. This is concerned with the execution of the planning
functions.Dispatching is the release of orders and instructions for the
starting of production in accordance with the route sheets and schedule charts.
Here,
the activities include:
1.
Assigning definite work to definite machines, work centres and men.
2.
Supplying required materials from store.
3.
Providing jigs, fixture and making them available at correct point of use.
4.
Releasing necessary work orders, time tickets etc. to authorise timely start of
operation.
5.
Recording start and finish time of each job on each machine (or) by each man.
8.
Expediting (or) Follow up (or) Progressing
Follow
up is the very important function for any production system. This is generally
done after the dispatching function. Expediting is the control tool that keeps
a close observation on theprogress of the work. It identifies the deviation
from the actual production plan, then all deviations are investigated and
suitable remedial measures are taken in order to complete the work by the
planned date.
Here,
the activities include:
1.
Identification of bottlenecks, delays and interruption.
2.
Devise action plans (remedies) for correcting the errors.
3.
Following up and monitoring progress of work through all stages of Production
9.
Inspection
Inspection
is the quality control aspect of production planning and control. This function
is related to maintenance of quality in production and of evaluating the
efficiency of the processes, methods and labours so that improvements can be
made to achieve the quality standard set by product design.
10.
Evaluation
The
main objective of this function is to improve performance.
The
evaluating function is concerned with providing a feedback mechanism on a
long-term basis so that the past experience can be used to improve upon the use
of methods, facilities and resources in future period.
PRODUCTION SYSTEM
Production implies the creation of
goods/services to satisfy human needs. Production is the process of
transformation of inputs (resources), into outputs (good/services) using
physical resources.
According to Cart Heyle, production is the
process of transforming raw materials or purchased components/semi finished
products into finished products for sale.
Production system consists of three main processes
1. Inputs
2. Conversion process
3. Outputs
Inputs : It includes raw materials, machines,
drawings etc.
Conversion process : Conversion process includes welding,
forging, machining, modeling, assembling etc. Conversion process adds value to raw materials by changing its shape,
size or weight.
Outputs : It includes finished products, finished
goods and services.
Types of Production System
According to the volume of production
(quantity) and product standardization, the production systems are classified
as
1. Job shop production
2. Batch production
3. Continuous production
4. Mass production
Job Shop Production
In Job shop production system, products
are manufactured to meet the requirements of a specific order.
The quantity involved is small and the
manufacturing of the product will take place as per the specification given by
the customer. The distinguishing feature of job shop production system is low
volume and high variety of products.
Examples: Space vehicles, aircraft, machine tools, special
purpose machines etc.
According to the regularity of
manufacturing. Job shop production is further classified into three types.
1. A small number of pieces produced only
once.
2. A small number of pieces produced
intermittently when the need a rises.
3. A small number of pieces produced periodically
at known time interval.
Characteristics of Job shop production
1. General purpose machines and equipments
are used to perform wide range of operations.
2. Highly skilled operators and
supervisors are employed.
3. Flexible planning and control system to
deal with the frequent changes in product requirements.
Merits
1. Due to the use of general purpose
machines, it is suitable for producing variety of products.
2. The potential and skill of operators
can be fully utilized.
Demerits
1. Production planning is complicated.
2. Higher setup and tooling cost due to
frequent setup changes.
3. Higher inventory cost due to higher
level of inventory at all levels.
Batch Production
In batch production system, the products
are made in small batches and in large variety. Each batch contains identical
items but every batch is different from the others.
Batch production plant includes machine
shops, foundries, plastic moulding units, press shops, chemical and
pharmaceutical units. It is characterized by the manufacture of limited number
of products produced at regular interval and stocked awaiting sales.
This type of production system is further divided into
three different categories.
1. A batch produced only once
2. A batch produced at irregular intervals
3. A batch produced at known intervals.
Characteristics of batch production
1. A large variety of products are manufactured in
lots or batches.
2. Higher level of work-in-process inventory.
3. Amount of supervision required is less compared to
job shop production.
Merits
1. Cost per unit is lower as compared to job
production system.
2. Investment is lower in plant & machinery.
3. Better utilization of plant & machinery
compared to job shop production.
Demerits
1. Material handling is complex because of irregular
and longer flows.
2. Production planning and control is complex.
3. Higher setup costs due to frequent
changes in setup.
Continuous Production
Production facilities for continuous production are
arranged as per a predetermined sequence of production operations from the
first operation to the finished product. The items are made to flow in a
sequence of operations through material handling devices such as conveyers,
transfer devices etc.
A highly rigid type of machine layout is used for
continuous production.
Characteristics of Continuous Production
1. Material handling is fully automated.
2. Persons with limited skills can be used in the
production line.
3. Process follows a predetermined sequence of operation.
Merits
1. Due to high volume of production the unit cost is
low.
2. Products and process sequences are
highly standardized.
Demerits
Very high investment is required for setting flow lines.
Mass Production
Mass production refers to the process of creating
large number of similar products efficiently
Standardisation of products, process, materials,
machines and uninterrupted flow of materials are the basic features of this
system. Automobile assembly line is a typical example of mass production.
Characteristics of mass production
1. Special purpose machines having higher production
rate is used.
2. Production volume is large.
3. Flow of materials, components and parts are
continuous without any back tracking.
Merits
1. Higher rate of production with reduced cycle time.
2. Low in-process inventory.
3. Production cost per unit is low
4. Less skilled operators may be employed.
Demerits
1. Breakdown of one machine will stop an entire
production line.
2. High investment in production
facilities.
Fig 1.7 Types of production system
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