Planing and control in general 1
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This document discusses planning and control in operations management. It defines planning as deciding what activities should take place and when, and control as understanding what is actually happening and making changes if needed. The key aspects of planning and control are reconciling supply and demand while considering timing, quantity, and quality. Planning and control types depend on whether demand is dependent or independent, and activities include loading, sequencing, scheduling, and monitoring work.
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For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/DistMang
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(Student in Ph.D. Business and Management, College Business, STUST
email:da61g209@stust.edu.tw
: katt.rmutl@gmail.com
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This document provides details about a material requirement planning (MRP) report submitted by a group of students. The 3-page report includes an introduction to MRP, describing it as a computer-based production planning and inventory control system. It discusses dependent and independent demand. The report also outlines the functions of MRP including forecasting, reducing waste, and floor control/scheduling. It provides an example to illustrate how MRP works by taking inputs, processing them, and producing outputs. Overall, the report examines how MRP can help manufacturing organizations better control inventories and plan production to meet customer demand.
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This document discusses inventory management techniques. It begins by explaining that inventory is a significant current asset that requires management to avoid unnecessary investment of funds. It then defines inventory control measures like order size, safety stock, and reorder points. It discusses the different types of inventories and the various reasons companies hold inventory. The objectives and techniques of effective inventory management are outlined, including determining economic order quantity and reorder points. ABC analysis is presented as a case study, classifying inventory into categories based on value to prioritize control efforts.
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For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/DistMang
Join us on Facebook: http://www.facebook.com/welearnindia
Follow us on Twitter: https://twitter.com/WeLearnIndia
Read our latest blog at: http://welearnindia.wordpress.com
Subscribe to our Slideshare Channel: http://www.slideshare.net/welingkarDLPMaster production schedule
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Kattareeya Prompreing
白雅欣
iD:DA61G209
(Student in Ph.D. Business and Management, College Business, STUST
email:da61g209@stust.edu.tw
: katt.rmutl@gmail.com
Material requirement planning (mrp1)
Material Requirement Planning (MRP) is a computerized inventory control and production planning system that determines what items need to be processed, when, and what needs to be manufactured based on order priorities and available capacities. MRP reduces inventory levels, component shortages, and manufacturing costs while improving customer service, production schedules, plant efficiency, and competitive position.
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Inventory Management
The document discusses key concepts in inventory management including controls, planning models, costs, and classification. It aims to achieve customer service while keeping inventory costs reasonable. Economic order quantity (EOQ) and minimum/maximum models help determine order sizes by balancing holding and ordering costs. Safety stock hedges against uncertain demand or lead times. ABC classification divides inventory into categories based on annual value to focus controls.
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This document discusses inventory management and analysis. It defines inventory as materials that are stocked for sale, in the process of manufacturing, or as raw materials. Effective inventory control is important for smooth production. Reasons for keeping inventory include stabilizing production, taking advantage of price discounts, meeting demand during replenishment periods, preventing lost sales, and adapting to changing market conditions. The document also discusses inventory models, economic order quantity models, and how to minimize total inventory costs.
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Production planning and control (PPC) involves coordinating activities like material control, process planning, and scheduling to systematically plan production. The objectives of PPC include meeting production targets with available resources, providing the right quality and quantity of products, and coordinating departments. PPC functions include material control, process planning, scheduling, dispatching work, and following up on production. There are different types of production systems like job shops, mass production, and batch production. Aggregate production planning coordinates with sales and marketing. Capacity planning matches resources to demand. Master production schedules convert aggregate plans into specific product schedules. Material requirements planning determines material needs. Manufacturing resource planning integrates all resource planning functions. Enterprise resource planning (ERP)
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Materials requirement planning
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- Inventory constitutes a significant part of current assets for many companies, often around 60% of current assets. Effective inventory management is important to avoid unnecessary costs and ensure profitability.
- There are different types of inventory including raw materials, work in progress, and finished goods. The objectives of inventory management are to maintain optimal inventory levels for smooth operations while minimizing costs.
- An optimum inventory level balances ordering costs, carrying costs, and stock-out costs. Both over-investment and under-investment in inventory can be dangerous for a company. Effective inventory management tracks inventory levels and determines when and how much to order.
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An IT audit evaluates an organization's IT systems, management, operations, and related controls. IT audits are important to ensure systems are reliable, secure, and properly managed. They help reduce risks like data tampering, loss, and service disruptions. An IT control is a procedure or policy that provides reasonable assurance that IT operates as intended, data is reliable, and the organization complies with laws and regulations. Controls can be general IT controls or application controls.
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Om lect 05_a(r0-aug-08)_manufacturing planning & scheduling_mms_sies
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Week 10_Demand Forecasting.pdf
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Demand forecasting in supply chain
Demand forecasting is used to predict future demand for products and services. There are short, medium, and long-range forecasts used for production planning, budgeting, and new product development. Qualitative and quantitative methods are used depending on data availability. The aggregate planning process involves determining demand and capacity, developing alternative plans, and selecting the optimal plan to minimize costs while meeting demand and capacity constraints. Accurate demand forecasting is crucial for aggregate planning and supply chain management.
APP_MPS_ATP_QUALITY.pptx
Aggregate production planning (APP) is an intermediate-range capacity planning process that typically covers a time horizon of 2 to 18 months. The goal of APP is to achieve a production plan that will effectively utilize the organization's resources to satisfy demand. APP deals with determining the optimal levels of resources like workforce, production rate, and inventory to balance expected demand. Common APP strategies include maintaining a level workforce/capacity or adjusting workforce/capacity to match demand in each period. Mathematical techniques can be used to evaluate alternative APP plans.
Aggregate planning
The document discusses aggregate planning, which is an intermediate-range production planning approach that deals with total production over a period of time rather than individual products. It aims to meet forecasted demand at minimum cost while maintaining production stability. Aggregate plans are disaggregated into master schedules that specify quantities of individual products. Strategies for aggregate planning include leveling production through options like overtime or subcontracting to absorb demand changes, or chasing demand by matching capacity to expected periodic demand.
AGGREGATE PRODUCTION PLANNING
This document discusses aggregate production planning. It defines aggregate production planning as a planning exercise done at an aggregate level to translate demand forecasts into production and capacity levels over a fixed horizon. The document provides an example plan from a garment manufacturer. It discusses why production planning is necessary to address demand and capacity fluctuations. Different planning strategies like level, chase, and mixed strategies are described. The document also covers production scheduling, its objectives and functions in allocating resources and meeting delivery dates.
MIn-218_chap 1.pptx
The document discusses different types of production systems:
- Job production involves manufacturing products in small quantities to meet specific customer orders.
- Batch production manufactures identical articles in batches to meet orders or continuous demand.
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Computer integrated production planning
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Tuning the planning and control system to product and process design: G3
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OM Unit_ IV.pptxucoxpuxofupupf Fuppfoufuflhlchjllh lh
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Planing and control in general 1
- 1. Planning and Control in General • What is planning and control? • What is difference between planning and control? • How does the nature of demand affect planning and control? • What is involved in planning and control?
- 2. Concepts We need to Understand • dependent demand and independent demand • make-to-stock, make-to-order, resource-to- order • loading, sequencing, scheduling and monitoring • pull and push systems
- 3. Planning and Control – Reconcile Supply and Demand Supply of products and services Planning and Control Demand for products and services Operation resources Required time, quantity and quality of products and services Customer requirements
- 4. Planning is deciding Control is what activities should take place in the operation and their quantities when they should take place what resources should be allocated to them understanding what is actually happening in the the operation deciding whether there is a significant deviation from what should be happening (if there is deviation) changing resources in order to affect the operation’s activities Planning and Control
- 5. Significance of planning or control Timehorizon Hours/daysDays/weeks/monthsMonths/years Medium-term Planning and Control Uses partially dissaggregated demand forecasts Determines resources and contingencies Objectives set in both financial and operations terms Long-term Planning and Control Uses aggregated demand forecasts Determines resources in aggregated form Objectives set in largely financial terms Short-term Planning and Control Uses totally dissaggregated forecasts or actual demand Makes interventions to resources to correct deviations from plans Ad hoc consideration of operations objectives PLANNING CONTROL
- 6. Planning and control needs…. Information on Demand levels Information on Resources
- 7. Dependent and Independent Demand Dependent demand e.g. input tyre store in car plant Demand for tyres is governed by the number of cars planned to be made Demand for tyres is largely governed by random factors ACE TYRES Independent demand e.g. tyre fitting service
- 8. Dependent and Independent Demand -defining them Demand = forecasts + known orders • Dependent demand – the demand is mainly coming from known orders. • Independent demand – the demand is mainly coming from forecasted figures.
- 9. P and D for the Different Types of Planning and Control Purchase Make Deliver D P Purchase Make Deliver Purchase Make Deliver D P Make to stock Make to order Resource to order P D Where D is demand time and P is total throughput time.
- 10. MAKE TO STOCK Purchase And … – ‘make-to-stock and assemble-to-order’ Planning and Control Make Parts Assemble Deliver D P Order ASSEMBLE TO ORDER
- 11. Resource-to-order Make-to-order Make-to-stock Dependent Demand Independent Demand Each product or service large compared with total capacity of each operation Each product or service small compared with total capacity of each operation
- 12. Planning and Control Activities Sequencing MonitoringScheduling Loading Are activities going to plan? When to do things? In what order to do things? How much to do?
- 13. Loading – the amount of work allocated in terms of time Maximum time available Normal time available Not worked Planned time available Planned running time Set-ups Available time Actual running time Down time
- 14. Sequencing – the order in which the work will be tackled Various sequencing rules are used in operations: - Customer priority; - Due date; - LIFO - last in first out; - FIFO - first in first out; Longest operation time first; - Shortest operation time first. -
- 15. Scheduling – the details on starts and finishes of jobs Gantt Chart • Created by American industrial engineer Henry Gantt (1861-1919) • In a table format • Two dimensions-jobs (tasks) and time • the horizontal axis is directly proportional to time • Easy to draw and use for a day-to-day plan
- 16. JOB Mon 6th Tue 7th Wed 8th Thur 9th Fri 10th Mon 13th Tue 14th Table Shelves Kitchen units Bed Time now Scheduled activity time Actual progress Gantt Chart for Job Progress
- 17. JOB Mon 6th Tue 7th Wed 8th Thur 9th Fri 10th Mon 13th Tue 14th Wood preparation Assembly Finishing Paint Time now Scheduled activity time Actual progress T B B T S K S S S K KTS B T Gantt Chart for Work Centers Non- productive time
- 18. Pull and Push Control CENTRAL OPS. PLANNING AND CONTROL SYSTEM Work centre DEMANDWork centre Work centre Work centre Instruction on what to make and where to send it FORECAST PULL CONTROL Work centre Work centre Work centre Work centre DEMAND Request Request Request Request Delivery Delivery Delivery Delivery PUSH CONTROL KNOWN ORDERS
- 19. True or False If the demand of a product is mainly from forecasts, we call this type of demand independent demand. Resource-to-order planning and control is used for dealing with independent demand. Time is the only important aspect in planning and control activities
- 20. Summary • The three dimensions of planning and control are: timing, quantity (volumes) and quality • The difference between dependent and independent demand is the % of known orders or forecasts of the total demand • Types of planning and control are: ‘make-to-stock’, ‘make-to-order’, ‘resource-to- order’, ‘make-to-stock and assemble- to-order’ • Planning and control activities are: loading, sequencing, scheduling and monitoring