1. T.Y. B.TECH
SCHOOL OF MECHANICAL ENGINEERING
CIMS
PRACTICAL NO. 6
PRODUCTION PLANNING AND CONTROL AT
FORD
2. INTRODUCTION:-
PRODUCTION PLANNING AND CONTROL :-
PRODUCTION PLANNING PRODUCTION CONTROL
PLANING DISPATCHING
ROUTING FOLLOWING UP
SCHEDULING INSPECTION
LOADING CORRECTIVE
3. THE PROCESS...
● The Strategic or Long-Term Planning involves to top-level managers and
concerns to the acquisition of new resources, the introduction of new
products, etc.
● The Annual Plan is elaborated from the annual budget, this Annual Plan
fixes the expected profit levels and establishes the car model quantities to
produce.
● Then, the Marketing and Sales departments make 6 an Aggregate
Demand Forecast with a six months forecast horizon.
● Ford Europe allocates the European demand to the different plants at
Europe.
4. ...
● Forecasted demand, available inventory, manufacturing constraints and
firm orders are used to develop the Release.
● The Release allocates the production quantities among each assembly
plant with a forecast horizon of six months and a forecast period of a
month.
● This document contains Aggregate Demand Forecast (6 months) Release
(6 months) Segmentation (4-6 weeks) Strategic Planning Annual Plan
Available Inventory Manufacturing Constraints Sequence Firm Orders 7
detailed and aggregate data and establishes a medium-term demand
forecast of the required modules or options to be supplied.
5. ...
● The production scheduling process is named Segmentation. The
Segmentation process allocates due date to the car assembly for a time
horizon of 6 weeks. In this process, firm orders are taking into account.
Finally, the sequencing process is done.
● The production planning process is organized so that the customization
steps (firm orders) are postponed until as late as possible (segmentation
process), allowing for mass production economies at earlier stages.