PRODUCTION AND CONTROL

1. 1
Forecasting, Planning and Scheduling

2. 2
Forecasting Approaches
Qualitative Methods
• Used when situation is
not clear & little data exist
▫ New products
▫ New technology
• Involves intuition,
experience
▫ e.g., forecasting sales on
Internet
Quantitative Methods
• Used when situation is
‘stable’ & historical data
exist
▫ Existing products
▫ Current technology
• Involves mathematical
techniques
▫ e.g., forecasting sales

3. 3
Overview of Qualitative Methods
• Jury of executive opinion
▫ opinions of high-level executives, sometimes augment by
statistical models
• Delphi method
▫ Panel of experts, queried two or more rounds
• Sales force composite
▫ Estimates from individual salespersons are reviewed for
reasonableness, then aggregated
• Consumer Market Survey
▫ Ask the customer

4. 4
Relationships of the Aggregate Plan
Aggregate
Plan for
Production
Demand
Forecasts,
orders
Master
Production
Schedule
Detailed Work
Schedules
External
Capacity
Subcontractors
Inventory On
Hand
Raw Materials
Available
Work Force
Marketplace
and Demand
Research and
Technology
Product
Decisions
Process
Planning & Capacity
Decisions

5. 5
Choosing a Scheduling Method
• Qualitative factors
▫ Number and variety of jobs
▫ Complexity of jobs
▫ Nature of operations
• Quantitative criteria
▫ Average completion time
▫ Utilization (% of time facility is used)
▫ WIP inventory (average # jobs in system)
▫ Waiting time (average lateness)

6. 6
Priority Rules for Dispatching Jobs
• FCFS --First come, first served
▫ The first job to arrive at a work center is processed first
• EDD -- Earliest due date
▫ The job with the earliest due date is processed first
• SPT -- Shortest processing time
▫ The job with the shortest processing time is processed first
• LPT -- Longest processing time
▫ The job with the longest processing time is processed first
• CR -- Critical ratio
▫ The ratio of time remaining to required work time remaining is
calculated, and jobs are scheduled in order of increasing ratio.

7. 7
Inputs to the Production Plan
Aggregate
Production
Plan
Marketing
Customer
Demand
Engineering
Design
Completion
Management
Return on
Investment
Capital
Human
Resources
Manpower
Planning
Procurement
Supplier
Performance
Finance
Cash Flow
Production
Capacity
Inventory

8. 8
Production Planning
Production Planning and
Control
Production Control
•Planning
•Routing
•Scheduling
•Loading
•Dispatching
•Following up
•Inspection
•Correction
PPC Process

9. 9
Production Control:
Production control is the process of planning production
in establishing the extract route of each individual item
part or assembly, setting, starting and finishing for each
important item, assembly or the finishing production
and releasing the necessary orders as well as initiating
the necessary follow-up to have the smooth function of
the enterprise.

10. 10
Dispatching:
Dispatching involves issue of production orders for
starting the operations.
Necessary authority and conformation is given for:
 Movement of materials to different workstations.
 Movement of tools and fixtures necessary for each operation.
 Movement of work from one operation to another in
accordance with the route sheet.
 Inspecting or supervision of work
 Dispatching is an important step as it translates production
plans into production.

11. 11
• Follow up: Every production programme involves determination of
the progress of work, removing bottlenecks in the flow of
work and ensuring that the productive operations are taking
place in accordance with the plans. It spots delays or deviations
from the production plans. It helps to reveal detects in routing
and scheduling, misunderstanding of orders and instruction, under
loading or overloading of work etc. All problems or deviations are
investigated and remedial measure are undertaken to ensure the
completion of work by the planned date.
• Inspection: This is mainly to ensure the quality of goods. It can be
required as effective agency of production control.

12. 12
• Corrective measures: Corrective action may involve
any of those activities of adjusting the route,
rescheduling of work changing the workloads, repairs
and maintenance of machinery or equipment, control
over inventories of the cause of deviation is the poor
performance of the employees. Certain personnel
decisions like training, transfer etc. may have to be
taken. Alternate methods may be suggested to handle
peak loads.

13. 13
PPC functions:
▫ To produce the required product with minimum total cost and
time for required delivery.
▫ Minimum total cost includes- direct labour, indirect labour, raw
material, equipment, capital, utility, rent, maintenance,
supplies and supervisory control

14. 14
PPC FUNCTIONS
• Analysing: It is the process to determining the quality
specifications of the products- raw materials, production
equipments and tools, production personnel
• Forecasting: It is the process of estimating the future volume of
sales, rate of sales and rate of delivery
• Planning: It is the activity of organising the sequence of
communication and managerial processing.
• Scheduling: Scheduling is to When, What and Where to organised
• Controlling : Controlling/ Supervising is an activity with which
production manager inspects and corrects the execution of his
production plan. And also to change the plan whenever required.

15. 15
• Production Analysis- Quality Specification
 Examine the sketch
 Style Specification
 Fabric Analysis
 Trimming Analysis
 Process (Construction) analysis
• Production Analysis- Quantitative Production
 m/c & equipments
 Work station layout
 Transportation
 Flow process grid
 Production control plan

16. 16
• 3 basic controls are
▫ Directives – orders which give one the authority to do something
▫ Records- tabulated results of doing
▫ Identification- Labels giving specific identity to the products
being processed

17. 17
Types of control form
• Sales order
• Sales Tally sheet
• Purchase Order
• Receiving memo
• Cut Order Plan
• Cutting Production control chart
• Cutting Projection tally
• Re-cut or swatch ticket
• Daily factory Report
• Daily Projection Report
• Bi-hourly Production Status
• Inline Checking Report
• Inline Audit Report
• End line Quality Report
• Daily Packing Status