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M. Pharm Sem -2 Presentations
PRODUCTION PLANNING AND CONTROL (PPC)
SUBMITTED TO
SAVITRIBAI PHULE, PUNE UNIVERSITY , PUNE
FOR
PARTIAL FULFILMENT OF REQUIREMENTS FOR THE AWARD OF
MASTER OF PHARMACY
IN THE SUBJECT
PHARMACEUTICAL MANUFACTURING TECHNOLOGY
IN THE FACULTYOF SCIENCE AND TECHNOLOGY
Bhujbal Knowledge City,
MET’s Institute of Pharmacy,
Adgaon, Nashik, 422003.
Maharashtra, India
Academic Year----2021-22
1
Presented By-
Shubham chikhale &
Anand Gaikwad
Guided By
Dr . Sapna P. Ahirrao
mam
Contents
• Introduction
• Definition
• Production planning
• Steps in production planning
• Production control
• Steps in production control
• Calculation of standard cost
• Benefits of PPC
• Limitations of PPC
• Conclusion
2
Introduction
3
Production
planning
Production
control
Production
management
Definitions :
• PRODUCTION :
Transformation of raw materials to finished goods
• PRODUCTION MANAGEMENT : Application of management
principles to the process of production in an industry to
produce desired goods in economical manner by co- ordinating
the efforts of men, material & machine.
• PRODUCTION PLANNING : It is a technique which helps in
planning & scheduling the work in the manufacturing plant to
obtain the desired quality of products with optimum efficiency
& at minimum cost.
• PRODUCTION CONTROL: It ensures that the work is being
done according to the plan
4
Production planning
5
Production budget
Selection of
economical process
Selection of
materials , methods
& machines
Selection of layout
for process
Schedule time
Route sheet
General principles
Different companies use different strategies for creating their
production plan , but every production plan has six basic
principles that play an important role in production process .
The six basic principles are as follows :
A. Customer demand
B. Materials
C. Equipment
D. Manpower
E. Processes
F. Controls
6
• This phase involves a sequence of ideas to perform a task in a
orderly manner
7
Planning
involves
5 M
Men
Machine
Materials
Money
Method
Steps in production planning
Process planning
Routing
Scheduling
Loading
8
A. PROCESS PLANNING
• Process planning can be defined as the preparation of detailed
plans for the process required to manufacture a product as each
manufacturing process consists of numerous operations.
• PROCESS PLANNING REQUIRES
i. Quantity of work to be done
ii. Product specifications
iii. Sequence of operations to be performed
iv. Time required for each operation
v. Availability of manufacturing facilities
9
STEPS INVOLVED IN PROCESS PLANNING
10
1
• Process selection
2
• Selection of raw materials
3
• Selection of machinery
4 • Process layout
5 • Time setup & standard operation time
6 • Documents
• a) PROCESS SELECTION:
• The operations selected for a particular process should be most
economical
• Should satisfy the product specifications
• Selection mainly depends upon quality, quantity, time period
& available machines
• b) SELECTION OF RAW MATERIALS:
• Should meet quality standards
• Should show chemical compatibility
11
Cont..
• c) SELECTION OF MACHINERY PARTS: Proper selection
of machinery attachments like inspection gauges, jigs, etc., is
necessary for the smooth functioning of machines. This helps
in reducing the costs & duration of production & results in
high output
• d) PROCESS LAYOUT : It describes every step of operation
as well as the sequence in which each operation is to be carried
out.
12
Cont..
• e) TIME SETUP & STANDARD OPERATION TIME : They
should be established to complete the production within the
time.
• f) DOCUMENTATION: Process planning should be clearly
summarized in documents operation & route sheets.
13
B. ROUTING
• Routing is the process of determining the sequence of
operations to be carried out.
• Determines the path for flow of work right from the selection
of raw materials until the completion of production of finished
goods.
• Routing is summarized in route sheets. Prepared sheets are
then dispatched to the production department .
Route sheets summarizes processes like ;
✓ Description of operations
✓ Sequence of operations
✓ Type of machinery
✓ Setup time
✓ Operation time
14
C. SCHEDULING
Scheduling concerns with time element. It refers to the time
frame of all production activities therefore scheduling is also
known as time phase of loading.
OBJECTIVE ;
• To reduce the time of production
• To ensure that the products can be delivered before the due
date
TECHNIQUES:
❖ Master schedule
❖ Perpetual schedule ( it provides only a gross picture of the
schedule )
❖ Order schedule (by plotting dates vertically & facility
horizontally on the chart )
15
D. LOADING
• Loading is the relationship between load and capacity at work
place.
• It gives the information about number of machines, available.
their speed, capacity, capability.
• It helps to determine work load and actual capacity of
production.
16
PRODUCTION CONTROL
17
Production control is the comparison between planning output and
output achieved.
Objectives of production controls are as follows :
➢ Regulate inventory management
➢ Organize the production schedules
➢ Optimum utilization of resources and production process
• The advantages of the production control are as follows :
i. Ensure a smooth flow of all production processes
ii. Ensure production cost saving thereby improving the bottom
line
iii. Control wastage of resources
iv. It maintains standard of quality through the production life
cycle
Production control cannot be same across all the organization ,
production control is dependent upon the following factors ;
i. Nature of production
ii. Nature of operation
iii. Size of operation
18
Functions of production control
• The production control department has to perform following
functions ;
i. Provision of raw material , equipment , machines and labour .
ii. To organize production schedule in conformity with the
demand
iii. The resources are used in the best possible manner in such a
way that the cost of production is minimized.
iv. Proper coordination of the operations of various sections
v. Departments responsible for respective production
vi. It is also responsible for product design and development .
19
PRODUCTION CONTROL
• STEPS INVOLVED IN PRODUCTION CONTROL:
20
Dispatching Follow up
Cost
control
Quality
control
A. DISPATCHING
• It is the process of issuing orders & instructions to a particular
operating section of industry to start the processing of a given
job on an assigned machine in accordance with the previously
planned sequence & time as detailed in route sheets &
schedule charts.
• Movement of materials to different work stations, movement
of work from one operation to another & supervision of work
comes under this category.
21
B. FOLLOW UP
➢ It includes delays or deviations from the production plans
➢ It helps to reveal the defects in
• Routing
• Scheduling
• Loading
• Dispatching
• Misunderstanding of orders
22
C. COST CONTROL
❖ The total cost for the production of goods is determined & is
compared with standard cost to calculate the deviations as well
as to follow corrective action.
❖ It can be controlled by
✓Reducing wastage
✓ Value analysis
✓ Inventory control
23
D. QUALITY CONTROL
• It helps to avoid & detects the defects in production process &
isolation of defective finished goods
• Finished products are inspected to ensure their acceptable
quality
• Quality control techniques
✓ Statistical quality control
✓Probability concept
✓Poisson distribution
✓Sampling inspection
24
Calculation of standard cost
• Standard cost
• Definition – standard cost is an estimated cost determined by
the company to produce the goods and services
• The standard cost is depending on the combination of
following :
a) Batch being manufactured
b) What is packed into containers
c) Hours spent on each operation
d) Standard resources costs per unit price
25
Benefits of production planning and
control (PPC)
• Higher quality
• Better utilizations of resources
• Reduce manufacturing time
• Faster delivery better customer service
• Low production cost and lower capital investments
• Higher customer satisfaction
• Minimize machine breakdown
26
Limitations of Production Planning and Control
(PPC)
• It is difficult to implement a proper PPC system in a small-
scale organization.
• PPC system is time-consuming.
• The initial setup cost is high
• PPC system is dependent on external factors such as
technological updates, government rules, and regulations.
• People do not like a lot of paperwork. They may be against
changes.
27
conclusion
1.PPC seeks to solve problems related to low productivity
2. Production control ensures that the production team can
achieve production goals and optimize resources usage by
meeting quality requirements
3.A well established planning and control system helps to ensure
more economic benefits to the organizations
28
Reference
• https://www.managementstudyguide.com/production-
planning-and-control.htm
• https://www.tandfonline.com/toc/tppc20/current
29

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Production planning and control

  • 1. M. Pharm Sem -2 Presentations PRODUCTION PLANNING AND CONTROL (PPC) SUBMITTED TO SAVITRIBAI PHULE, PUNE UNIVERSITY , PUNE FOR PARTIAL FULFILMENT OF REQUIREMENTS FOR THE AWARD OF MASTER OF PHARMACY IN THE SUBJECT PHARMACEUTICAL MANUFACTURING TECHNOLOGY IN THE FACULTYOF SCIENCE AND TECHNOLOGY Bhujbal Knowledge City, MET’s Institute of Pharmacy, Adgaon, Nashik, 422003. Maharashtra, India Academic Year----2021-22 1 Presented By- Shubham chikhale & Anand Gaikwad Guided By Dr . Sapna P. Ahirrao mam
  • 2. Contents • Introduction • Definition • Production planning • Steps in production planning • Production control • Steps in production control • Calculation of standard cost • Benefits of PPC • Limitations of PPC • Conclusion 2
  • 4. Definitions : • PRODUCTION : Transformation of raw materials to finished goods • PRODUCTION MANAGEMENT : Application of management principles to the process of production in an industry to produce desired goods in economical manner by co- ordinating the efforts of men, material & machine. • PRODUCTION PLANNING : It is a technique which helps in planning & scheduling the work in the manufacturing plant to obtain the desired quality of products with optimum efficiency & at minimum cost. • PRODUCTION CONTROL: It ensures that the work is being done according to the plan 4
  • 5. Production planning 5 Production budget Selection of economical process Selection of materials , methods & machines Selection of layout for process Schedule time Route sheet
  • 6. General principles Different companies use different strategies for creating their production plan , but every production plan has six basic principles that play an important role in production process . The six basic principles are as follows : A. Customer demand B. Materials C. Equipment D. Manpower E. Processes F. Controls 6
  • 7. • This phase involves a sequence of ideas to perform a task in a orderly manner 7 Planning involves 5 M Men Machine Materials Money Method
  • 8. Steps in production planning Process planning Routing Scheduling Loading 8
  • 9. A. PROCESS PLANNING • Process planning can be defined as the preparation of detailed plans for the process required to manufacture a product as each manufacturing process consists of numerous operations. • PROCESS PLANNING REQUIRES i. Quantity of work to be done ii. Product specifications iii. Sequence of operations to be performed iv. Time required for each operation v. Availability of manufacturing facilities 9
  • 10. STEPS INVOLVED IN PROCESS PLANNING 10 1 • Process selection 2 • Selection of raw materials 3 • Selection of machinery 4 • Process layout 5 • Time setup & standard operation time 6 • Documents
  • 11. • a) PROCESS SELECTION: • The operations selected for a particular process should be most economical • Should satisfy the product specifications • Selection mainly depends upon quality, quantity, time period & available machines • b) SELECTION OF RAW MATERIALS: • Should meet quality standards • Should show chemical compatibility 11
  • 12. Cont.. • c) SELECTION OF MACHINERY PARTS: Proper selection of machinery attachments like inspection gauges, jigs, etc., is necessary for the smooth functioning of machines. This helps in reducing the costs & duration of production & results in high output • d) PROCESS LAYOUT : It describes every step of operation as well as the sequence in which each operation is to be carried out. 12
  • 13. Cont.. • e) TIME SETUP & STANDARD OPERATION TIME : They should be established to complete the production within the time. • f) DOCUMENTATION: Process planning should be clearly summarized in documents operation & route sheets. 13
  • 14. B. ROUTING • Routing is the process of determining the sequence of operations to be carried out. • Determines the path for flow of work right from the selection of raw materials until the completion of production of finished goods. • Routing is summarized in route sheets. Prepared sheets are then dispatched to the production department . Route sheets summarizes processes like ; ✓ Description of operations ✓ Sequence of operations ✓ Type of machinery ✓ Setup time ✓ Operation time 14
  • 15. C. SCHEDULING Scheduling concerns with time element. It refers to the time frame of all production activities therefore scheduling is also known as time phase of loading. OBJECTIVE ; • To reduce the time of production • To ensure that the products can be delivered before the due date TECHNIQUES: ❖ Master schedule ❖ Perpetual schedule ( it provides only a gross picture of the schedule ) ❖ Order schedule (by plotting dates vertically & facility horizontally on the chart ) 15
  • 16. D. LOADING • Loading is the relationship between load and capacity at work place. • It gives the information about number of machines, available. their speed, capacity, capability. • It helps to determine work load and actual capacity of production. 16
  • 17. PRODUCTION CONTROL 17 Production control is the comparison between planning output and output achieved. Objectives of production controls are as follows : ➢ Regulate inventory management ➢ Organize the production schedules ➢ Optimum utilization of resources and production process
  • 18. • The advantages of the production control are as follows : i. Ensure a smooth flow of all production processes ii. Ensure production cost saving thereby improving the bottom line iii. Control wastage of resources iv. It maintains standard of quality through the production life cycle Production control cannot be same across all the organization , production control is dependent upon the following factors ; i. Nature of production ii. Nature of operation iii. Size of operation 18
  • 19. Functions of production control • The production control department has to perform following functions ; i. Provision of raw material , equipment , machines and labour . ii. To organize production schedule in conformity with the demand iii. The resources are used in the best possible manner in such a way that the cost of production is minimized. iv. Proper coordination of the operations of various sections v. Departments responsible for respective production vi. It is also responsible for product design and development . 19
  • 20. PRODUCTION CONTROL • STEPS INVOLVED IN PRODUCTION CONTROL: 20 Dispatching Follow up Cost control Quality control
  • 21. A. DISPATCHING • It is the process of issuing orders & instructions to a particular operating section of industry to start the processing of a given job on an assigned machine in accordance with the previously planned sequence & time as detailed in route sheets & schedule charts. • Movement of materials to different work stations, movement of work from one operation to another & supervision of work comes under this category. 21
  • 22. B. FOLLOW UP ➢ It includes delays or deviations from the production plans ➢ It helps to reveal the defects in • Routing • Scheduling • Loading • Dispatching • Misunderstanding of orders 22
  • 23. C. COST CONTROL ❖ The total cost for the production of goods is determined & is compared with standard cost to calculate the deviations as well as to follow corrective action. ❖ It can be controlled by ✓Reducing wastage ✓ Value analysis ✓ Inventory control 23
  • 24. D. QUALITY CONTROL • It helps to avoid & detects the defects in production process & isolation of defective finished goods • Finished products are inspected to ensure their acceptable quality • Quality control techniques ✓ Statistical quality control ✓Probability concept ✓Poisson distribution ✓Sampling inspection 24
  • 25. Calculation of standard cost • Standard cost • Definition – standard cost is an estimated cost determined by the company to produce the goods and services • The standard cost is depending on the combination of following : a) Batch being manufactured b) What is packed into containers c) Hours spent on each operation d) Standard resources costs per unit price 25
  • 26. Benefits of production planning and control (PPC) • Higher quality • Better utilizations of resources • Reduce manufacturing time • Faster delivery better customer service • Low production cost and lower capital investments • Higher customer satisfaction • Minimize machine breakdown 26
  • 27. Limitations of Production Planning and Control (PPC) • It is difficult to implement a proper PPC system in a small- scale organization. • PPC system is time-consuming. • The initial setup cost is high • PPC system is dependent on external factors such as technological updates, government rules, and regulations. • People do not like a lot of paperwork. They may be against changes. 27
  • 28. conclusion 1.PPC seeks to solve problems related to low productivity 2. Production control ensures that the production team can achieve production goals and optimize resources usage by meeting quality requirements 3.A well established planning and control system helps to ensure more economic benefits to the organizations 28