PRODUCTION PLANNING AND CONTROL by S60I03

VIEWS: 118 PAGES: 21

									 Production Planning may be said to be a
technique of forecasting ahead every step in the
long process of production, taking them at right
time and in the right degree and trying to
complete operations at the maximum efficiency

In the words of Kimball and Kimball Jr –
 “The planning of industrial operations involves
four considerations, namely, what work shall
be done, how the work shall be done and
lastly, when the work shall be done.”
Production control is the process that keeps a
watchful eye on the production flow and size of
resources along with the location, of any deviation
from the present action and to arrange for the
prompt adjustment so that the production may run
according to the original or revised schedule

In the words of Henry Fayol –
“Production control refers to ensuring that all
which occurs is in accordance with the rules
established and instructions issued.”
   Inputs like materials, men and machines are
    efficiently used
   Factors of production are integrated to use
    them economically
   Division of work is undertaken carefully so that
    every available element is properly utilised
   Work is regulated from the first stage of
    procuring raw materials to the stage of finished
    goods
   Questions like what, when and how to be
    manufactured are decided
   Determining sequence of operations for
    continuous production
   Planning plant capacity for future production
    programmes
   Issuing co-ordinated work schedules to
    concerned persons
   Maintaining sufficient inventories to support
    continuous flow of production
   Evaluating performance of workshops
   Maintaining production schedules to ensure
    delivery at proper time
   Preparation of production budget
   Devising manufacturing methods and sequence of
    operations
   Deciding type of machines and equipments
   Preparation of operation sheets and instruction
    cards
   Estimating men, machine and material
    requirements
   Undertaking time and motion studies
   Preparing master schedules
     Production planning and control is important
    for the following reasons -
   For Increasing Production – Main purpose of
    production planning is to arrange inputs.
    Production control programme minimises
    idleness of men and machines. It thus helps in
    raising industrial output.
   For co-ordinating plant activity -In planning
    production is carried out in a number of
    processes and thus activities are synchronized
    for smooth working.
   Sub-dividing the master schedule into
    manufacturing and subsidiary orders
   Routing
   Scheduling
   Despatching
   Expediting
   Tool keeping
   For Cost Control – A properly planned system
    of production will help in controlling costs by
    not only making full utilisation of various inputs
    but also by increasing output and lowering
    overhead expenses per unit.

   For Rationalisation of Production Activities –
    In production planning, the process of entering
    of raw materials and converting them into
    finished goods is planned in such a way that
    everything is done in sequence or routine. It
    regulates flow of inputs to run production
    system smoothly
    Following are the limitations faced by production
    planning and control –
   Based on Assumptions – Production planning and
    control is based on certain assumptions. In case
    the assumptions prove correct, the planning and
    control will go smoothly. But if they go wrong,
    process of planning and control will go weak.

   Rigidity – Under production planning and control,
    there is rigidity in the behaviour of employees and
    it may not help in smoothening flow of work.
   Difficult for small firms – This process is time
    consuming and therefore not affordable for
    small firms

   Costly – It is a costly device as its
    implementation requires separate persons to
    perform functions of planning, expediting,
    dispatching etc.

   Dependence on External Factors – External
    factors like natural calamities, change in
    technology, government controls etc reduce
    effectiveness of production planning.
 Planning
 Routing
 Scheduling
 Despatching
 Follow-upand Expediting
 Inspection
It is the first element of production planning and
control. Planning is deciding in advance what is to
be done in future. An organisational set up is
created to prepare plans and policies. Various
charts, manuals and production budgets are also
prepared. Planning provides a sound base for
control. A separate department is set up for this
work.
Routing is determining the exact path which will
be followed in production. It is the selection of
the path from where each unit have to pass
before reaching the final stage. The stages
from which goods are to pass are decided in this
process.

In the words of ALFORD and BEATY –
“Routing is the specification of the flow
sequence of operations and processes to be
followed in producing a particular
manufacturing lot.”
    The following steps are taken for completing
    a routing procedure –
   Deciding what part to be made or purchased
   Determining Materials required
   Determining Manufacturing Operations and
    Sequences
   Determining of Lot Sizes
   Determining of Scrap Factors
   Analysis of Cost of the Product
   Preparation of Production Control Forms
Scheduling is the determining of time and date
when each operation is to be commenced or
completed. The time and date of manufacturing
each component is fixed in such a way that
assembling for final product is not delayed in
any way.

In the words of KIMBALL and KIMBALL –
“The determination of the time that should
be required to perform each operation and
also the time necessary to perform the entire
series, as routed, making allowances for all
factors concerned.”
   Master Scheduling – It is the breakup of
    production requirements. It is the start of
    scheduling. It is prepared by keeping in view the
    order or likely sales order in near future.
   Manufacturing Scheduling – It is used where
    production process is continuous. The order of
    preference for manufacture is also mentioned in
    the schedule for a systematic production
    planning.
    Detail Operation Scheduling – It indicates the
    time required to perform each and every
    detailed operations of a given process
Despatching refers to the process of actually
ordering the work to be done. It involves putting
the plan into effect by issuing orders. It is
concerned with starting the process and
operation on the basis of route sheets and
schedule charts.

In the words of JOHN A. SHUBIN –
“Despatches put production in effect by
releasing and guiding manufacturing order in
the sequence previously determined by route
sheets and schedules.”
    Following two procedures may be used for
    despatching –
   Centralised Despatching – Under this, orders are
    directly issued to workmen and machines. It
    helps in exercising effective control.
   Decentralised Despatching – Under this
    procedure all work orders are issued to the
    foreman or despatch clerk of the department or
    section. It suffers from difficulties in achieving
    co-ordination among different departments.
“Follow up or expediting is that branch of
production control procedure which regulates
the progress of materials and part through
the production process.”

Follow up Procedure –

Progress may be assessed with the help of
 routine reports or communication with operating
 departments. The follow up procedure is used
 for expediting and checking the progress.
 Inspection is the process of ensuring whether the
products manufactured are of requisite quality or
not.
 Inspection is undertaken both of products and
inputs. It is carried on at various levels of
production process so that pre-determined
standards of quality are achieved.
 Inspection ensures the maintenance of pre-
determined quality of products.

								
To top