Unit III Production Planning and Control Meaning Objectives

Unit III ØProduction Planning and Control- Meaning ØObjectives and importance ØElements ØRouting- Meaning ØObjectives & Advantages ØScheduling – meaning ØObjectives ØTypes

Production Planning and Control - Meaning � Production planning and control can be viewed as the nervous system of the production operation. This function aims at efficient utilization of material resources, people and facilities in any undertaking through planning, coordination and controlling the production activities that transform the raw material into finished products or components as a most optimal manner.

Objectives of Production Planning & Control Ø Nature of the Inputs Ø Quantity of Inputs Ø Proper Coordination Ø Better Control Ø Ensures Uninterrupted Production Ø Capacity Utilization Ø Timely Delivery

Need/ Importance of Production Planning & Control Ø For increasing production Ø For Co-ordinating plant activity Ø For Cost control Ø For Rationalization of production activities Ø Consumers

Techniques or Elements of Production Planning & Control o o o Routing Scheduling Loading Despatching Expediting

Advantages of Production Planning & Control Ø Higher productivity Ø Removal of hurdles Ø Better quality Ø Consumer satisfaction Ø Saving in cost Ø Increase in production Ø Optimum utilization of capabilities Ø Minimum overtime Ø Better industrial relations Ø Better profitability

Disadvantages of Production Planning & Control Ø Assumptions Ø Rigidity in employees behavior Ø Time consuming process Ø External environmental factors Ø Costly process

Routing Meaning & Definition § § Routing is the first but the most important and difficult task of the production control. Routing means, determination of path or route on which manufacturing operations will travel, establishing the sequence of operations to be followed in manufacturing a particular product. According to Kimball and Kimball, “ It is selection of path or route over which each piece is to travel in being transformed from raw material into finished product”.

Objectives & Advantages of Routing I. Objectives a. Determining the most feasible sequence of operations and ensuring that this sequence must be followed b. Utilizing the physical human resources, materials and machines employed in the production to the best c. Exercising the influence upon the design of the factory building and the machines II. Advantages a. Efficient use of available resource b. Reduction in manufacturing costs c. Improvement in quantity and quality of the output d. Provides a basis for scheduling and loading

Scheduling –Meaning & Definition ü Scheduling may be defined as the assignment of work to the plant with the specification of times and the sequence in which the work is to be the specification of times, and the sequence in which the work is to be done. ü According to Spriegal and Lansburgh, “ scheduling involves establishing the amount of work to be done and the time when each element of work will start or order of work.

Objectives of Scheduling aims to achieve the required rate of output with a minimum of delay, and disruption in processing ü To provide quantities of goods necessary to maintain finished inventories at levels predetermined to meet delivery commitment ü The aim of loading and scheduling is to have maximum utilization of men, machines and materials by maintaining a free flow of materials along the production line ü To keep the production cost minimum ü To prevent unbalanced allocation of time among production departments with a view to eliminate idle capacity. ü

Types of Scheduling Ø Master Scheduling Ø Parts Scheduling Ø Machine Loading Schedule

Factors affecting scheduling External Factors 1. customer’s Demand 2. Customer’s Delivery Dates 3. Stock of Goods already lying with Dealers and Retailers II. Internal Factors 1. Stock of Finished goods with the firm 2. Time interval to process finished goods from raw material 3. Availability of Machines, Manpower and Materials 4. Manufacturing facilities 5. Feasibility of economic production runs I.