6 important Steps in Production Planning and Control

Production Planning and Control; The function of production planning and control involves co-ordination and integration of the factors of production for optimum efficiency. Overall sales orders or plans must translate into specific schedules and assigned to occupy all work centers but overload none.

Here explain the top 6 important Steps in Production Planning and Control; you’ll understand them in simple words.

The job can be done formally, in which case elaborate charting and filing techniques are used; or it can be done informally with an individual’s thoughts and retention thereof supplanting tangible aids. In any case, the production planning and control function must be performed somehow by someone. The better the job that is done, the better the profit picture will be.

A successful production planning and control program minimizes the idleness of men and machines, optimizes the number of set-ups required, keeps in-process inventories at a satisfactory level, reduces materials handling and storage costs, and consequently permits quantity and quality production at low unit costs.

The basic phases or steps of production planning and control show and discuss below:

Routing:

Production routing involves the laying den of the path which works will follow and the order in which various operations will be carried out. It consists of the determination of operations through which the product must pass and the arrangement of operations in the sequence that will require a minimum of handling, transportation, storage, and deterioration through exposure.

It is the job of routing personnel to determine the production routes in the organization. A route for the movement of a manufacturing lot through the factory results from the determination of where each operation on a part, subassembly, or assembly is to perform. Routing may generalize or details, depending upon the quality of the product to manufacture, the production system in use, and other factors.

Generalized routing may establish either by building or by departments such as machine shop, assembly, or others. Detailed routing indicates the specific work station or a machine to use for each operation. Routing aims to determine an economical sequence of operations. Efficient routing permits the best utilization of physical human resources employed in production.

Extra knowledge:

Routing is an essential element of production control because other production control functions are dependent on the routing function. The persons who make out a list of operations must be thoroughly familiar with all the operations and various machines in the plant so that they can establish routes that will ensure maximum utilization of the plant and machinery. Also, the routing procedure depends on considerations of the type of work stations, characteristics of individual machines, needs of personnel, etc.

Routing in continuous industries does not present any problem because of the product type of layout where the equipment arrange as per the sequence of operations required to perform on the components (from raw material to the finished products). On the other hand, in open job shops, since every time a new job undertakes, the route sheet will have to revise which involves a lot of work and expertise.

In general, the following routing procedure follows:

Determining What to Make and What to Buy:

The product analysis, from the manufacturing point of view, to find out how many parts or components can manufacture in the plant and how many can purchase from outside directly. Also, the decision to make or buy a component depends on the relative cost involved, technical consideration, purchasing policies of the firm, and availability of equipment, and personnel. In general, during slack periods the decision takes to undertake maximum production to keep the men and machines busy. On the other hand, during prosperity, the sub-contracts give for any parts to relieve overburdened facilities.

Ascertaining the Requirements of Materials:

After the decision to manufacture takes, the production department decides the exact quantity and quality of materials required for the manufacture of the components or the product. A parts list and a bill of materials prepared to show the name of each part, quantity, material specifications, amount of materials required, etc. The necessary materials, thus, can procure.

Preparation of Route Sheet:

The chief paper which gives the details of what is to be done and how it will have to be done calls a route sheet. In other words, a route sheet is a tabular form on which the path that a particular item is to follow through production records. Route sheets prepare in advance of need and filed in the route file. A route sheet is to prepare for every production order showing the individual parts to complete for each finished product before any group can assemble.

Route sheets will contain the following details in full:

• The works order No.
• The number of pieces to make.
• Symbol and classification of the part.
• The lot sizes for each unit of production, if put through in lots.
• List of operations for each part.
• The definite sequence of operations.
• Machine to use for each operation.
• Materials that are necessary for a given operation, and.
• The standard time for each operation.

A separate route sheet is necessary for each part or component of a works order. It may note that the number of pieces mentioned on the route sheet doesn’t need to be the same as required under any specified order; because in many cases some allowance has to make for spoilage, and additional pieces may need for stock, or as reserves for repairs, or as spares. While preparing a route sheet, it is essential to bear in mind that the route selected is the shortest and the most economical of all possible alternative routes.

Determining Lot Sizes:

When the work orders are received from the customers, it is necessary to determine the lot sizes to keep the route free and ready for smooth operations. This must be done with due reference to the length of operations, space occupied by the material while moving through the shop, and the requirements of the master schedule.

Determining Scrap Factors:

A scrap factor is the anticipated normal scrap encountered in the course of the manufacturing process. Also, the routing department should determine the amount of possible scrap and rejection in each order or lot. Usually, a margin of 5% to 10% keeps for such rejections.

Estimation of the cost of the Product:

The cost of the component or product analyzes and estimate through the information obtained in steps one to five above. The cost consists of material, wages, and other specific and indirect expenses.

Preparation of Production Control Forms:

To collect detailed information relating to production control, the production department prepares various forms such as job cards, inspection cards, move tickets, tool tickets, etc.

Loading:

Once the route has been established, the work can load against the selected machine. Loading deals with the amount of work assigned to a machine or a worker. It deals with the record of work-load of different shops. The total time required to perform the operations compute by multiplying the unit operation time given on the standard process sheet by the number of parts to the process.

The total time then adds to the work already planned for the work station. The process results in a tabulated list or chart showing the planned utilization of machines or work stations in the plant. From the chart, it is easy to assess the spare capacity of the plant. If the loading charts indicate sufficient spare capacity, efforts may direct through the sales department to obtained more orders for the utilization of spare capacity.

The underload of certain departments may also arise from ineffective planning. In such a case, the remedy lies in proper planning. But if, on the other hand, there is an overload in any workshop, action on any one or more of the following lines may take to relieve the bottleneck;

• Arranging for overtime work.
• Introducing an additional shift.
• Transferring operations to another shop, and.
• Sub-contracting of the excess load.

Scheduling:

The scheduling involves fixing priorities for different items and operations and providing for their release to the plant at the proper time. It establishes the time sequence of operations and indicates the time required for each job and operation. A schedule is a time-table of operations specifying the time and date when each job/operation is to start and complete.

Scheduling is, thus, the determination of the time that should require to perform each operation; and, also the time necessary to perform the entire series, as routed making allowance for all factors concerned. The objective of scheduling is to ensure that every job starts at the right time and complete before the delivery date. Scheduling and routing are inter-dependent and the two should, therefore, integrate properly.

It is difficult to prepare a schedule of production without determining the route or sequence of operations. Similarly, an efficient route for an item cannot determine without consulting the production schedule designed for it. To be effective, scheduling should be flexible and due provision should be made for contingencies like delay in the availability of materials, breakdown of machines, absence of key personnel, etc.

Dispatching:

The dispatching may define as the set of productive activities in motion through the release of orders and instructions; following previously planned timings as embodied on the operation sheet, route card, and loading schedules.

Dispatch provides official authorization and information for;

• Movement of materials to different work stations.
• Movement of tools and fixtures necessary for each operation.
• Beginning of work on each operation.
• Recording of beginning and completion time.
• Movement of work following a routine schedule, and.
• Control of the progress of all operations and making necessary adjustments in the release of operations.

Extra knowledge:

Dispatching requires co-ordination among all the departments concerned. This obtains through varying degrees of centralized control. Under centralized control, dispatch clerks, centrally located, release all orders including the movement of materials and tools necessary for the operations.

Under decentralized control, this responsibility handle by each department. In continuous manufacturing, under normal conditions, orders may dispatch to departments a day or more in advance of operations. Each department prepares its instructions and sends a duplicate copy to the central office.

Since duplicate copies received by the central office considerably in advance of operations; there is sufficient time for the recommendation of changes. If it is found that certain orders are being unduly delayed, a request may make for adjustments. However under abnormal conditions, when a company press by impatient customers; and, the plant load to capacity, emergency changes are more frequent.

A special rush order may require that operations start immediately and that other orders originally scheduled may be held temporarily. Under these circumstances, it is apparent that centralized control plays an important role in obtaining speed and co-ordination.

Expediting or Follow Up:

Expediting or follow up is the last step in production planning and control. It involves the determination of the progress of work, removing bottlenecks in the flow of work; and, ensuring that the production operations are taking place following the plans. Follow up or expediting is that branch of production control procedure that regulates the progress of materials and parts through the production process.

It spots delays or deviations from the production plans. It helps to reveal defects in routing and scheduling, misunderstanding of orders and instructions underloading or overloading of work, etc. All problems and deviations investigate and remedial measures are undertaken to ensure the completion of work by the planned date. Follow up serves as a catalytic agent to fuse the separate production activities into a unified whole.

It seeks to ensure that the promise backs up by performance and the work done is up to the pre-determined standards as to the quantity, quality, time, and cost. The responsibility for expediting usually gives to a separate group of persons known as “expeditors”. These people are “liaison men” or “go-betweens” who obtain information on the progress of work and attempt to achieve coordination among the different departments.

Corrective Action:

Corrective action needs to make effective the system of production planning and control. By resorting to corrective measures, the production manager maintains full control over the production activities. For instance, routing may be defective and the schedules may be unrealistic and rigid. The production manager should try to rectify the routes and lay down realistic and flexible schedules.

The workload of machines and workers should also determine scientifically. If schedules are not being met, the causes should fully investigate. It should also ensure that there is optimum utilization of the plant capacity. Sometimes, abnormal situations like strikes and break-down of machinery or power may upset the work schedules. The production manager should try to make up for the delays and adjust the schedules properly.

Systematic investigation of activities at various stages of production may also lead the production manager to revise the production targets, loads, and schedules. There is also a strong need for performance appraisal of all employees. Many a time, production schedules are not met in time or if they are met, the goods are of substandard quality. If the causes of these are due to the poor performance of the employees, certain personnel decisions like demotion, transfer, and training may be essential.