This document provides information on tuning the planning and control system to product and process design

1. Tuning the planning and control system to
product and process design
Technology and Innovation

2. Contents
1 Planning and control
2 The Planning-Control Relationship
3 Product and process design
4 Product Design Issues
5 Process Design
6 PPC approach in food production
7 Conclusion
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3. Planning and control
Within the constraints imposed by its design, an operation
has to be run on an ongoing basis. ‘Planning and control’ is
concerned with managing the ongoing activities of the
operation so as to satisfy customer demand.
What is planning & control?
Planning and control is concerned with the reconciliation
between what the market requires and what the
operation’s resources can deliver. Planning and control
activities provide the systems, procedures and decisions
which bring different aspects of supply and demand
together. The purpose is always the same – to make a
connection between supply and demand
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4. Planning and control
Planning and control are an essential ingredient for
success of an operation unit. Benefits of production
planning and control:
• It ensures that optimum utilization of production
capacity is achieved, by proper scheduling of the
machine items which reduces the idle time as well as
over use.
• It ensures that inventory level are maintained at
optimum levels at all time, i.e. there is no over-stocking
or under-stocking.
• It also ensures that production time is kept at optimum
level and thereby increasing the turnover time.
• Since it overlooks all aspects of production, quality of
final product is always maintained.
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5. Production Planning
Objectives of production planning
• To ensure right quantity and quality of raw material, equipment, etc.
are available during times of production.
• To ensure capacity utilization is in tune with forecast demand at all the
time.
• A well thought production planning ensures that overall production
process is streamlined providing following benefits:
• Organization can deliver a product in a timely and regular manner.
• Supplier are informed will in advance for the requirement of raw
materials.
• It reduces investment in inventory.
• It reduces overall production cost by driving in efficiency.
Production planning takes care of two basic strategies’ product planning
and process planning.
Production planning is done at three different time dependent levels i.e.
long-range planning dealing with facility planning, capital investment,
location planning, etc.; medium-range planning deals with demand
forecast and capacity planning and lastly short term planning dealing with
day to day operations.
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6. Production Control
Production control looks to utilize different type of control techniques to
achieve optimum performance out of the production system as to achieve
overall production planning targets.
Objectives of production control
• Regulate inventory management
• Organize the production schedules
• Optimum utilization of resources and production process
Advantages of robust production control
• Ensure a smooth flow of all production processes
• Ensure production cost savings thereby improving the bottom line
• Control wastage of resources
• 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
• Nature of production( job oriented, service oriented, etc.)
• Nature of operation
• Size of operation
Production planning and control are essential for customer delight and overall
success of an organization.
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7. The Planning-Control Relationship
http://www.accel-team.com/control_systems/h_control_01.html
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8. The difference between planning
and control
Planning
concerns what
should happen
in the future.
Control copes
with changes.
http://catalogue.pearsoned.co.uk/assets/hip/gb/hip_gb_pearsonhighered/samplechapter/0273756192.pdf
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9. Product and Process Design
Product Design can be defined as the idea generation,
concept development, testing and manufacturing or
implementation of a physical object or service.
The stages through which a product passes are:
1. Need identification
2. Advance Product Planning
3. Advance design, Detailed engineering
4. Production process design and development
5. Product Evaluation
6. Product Use and support
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10. Product and Process Design
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11. Product Design Process vs. Deming’s
PDCA Cycle?
 PDCA
 P = plan
 D = do
 C = check (or
study)
 A = act
 Product Design
 Idea
development
 Product
screening
 Preliminary
design and
testing
 Final design
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12. Product Design Issues
• Value analysis/value engineering
– Obtain better performance at lower cost
• Two Design Approaches:
– Over the Wall Approach vs. Concurrent Engineering
• Complexity of design
– Implications??
• Reliability
– How can it be increased?
• Standardization
– Advantages & disadvantages?
• Modular design
– Advantages & disadvantages?
• Environmental Implications
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13. Process Design
Processes by Market Orientation
• Make to stock: The goods usually are standard, mature
products. As a general rule make to stock products compete
primarily on the basis of cost and availability. Example of such
products includes most retail goods.
• Assemble to order: products are standard items that are
assembled from in stock subassemblies. This allows customers to
specify a wide range of options.
• Make to order: are made from previously designs, but are made
only after an order has been received. Make to order products are
used when the standard product is too costly to stock, have too
uncertain demand, or will deteriorate if stocked on shelf.
• Engineer to order: This market orientation is used to make
unique products that have not been previously engineered,
Extensive customization to suite the customers’ need is possible
but only if customer is willing to wait for this addition stage in the
value creation process.
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14. Process Design
Processes as production systems
• Projects: These are one-off projects. It is based on extensive customization
that is suited to the customer’s ‘need. Ex-construction projects, shipbuilding
and civil engineering.
• Job shop: Construction is characterized by processing of small batched of a
large number of products, most of which require a different set or sequence
of processing steps. Production equipment is mostly general purpose to meet
the specific customer orders.
• Batch production: Production is in discrete parts that are repeated at
regular intervals. Such a structure is generally employed for relatively stable
lines of products, each of which is produced in medium volume.
• Assembly Line: It is a mass production process. On assembly line,
production follows in a predetermined sequence of steps which are
continuous rather than discreet. The product moves from work station to
workstation at a controlled rate following the sequence needed to build the
product.
• Continuous flow: It is common in the food processing industry, and in
industries involving undifferentiated materials. Most bulk products are
manufactured using continuous flow production; generally, on-line control
and continuous system monitoring is needed.
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15. Good Product and Process Design
• Design products/services that match the needs and
preferences of the targeted customer group
• Design products that are as easy as possible to make
(product manufacturability).
• Use concurrent engineering instead of “over-the-wall”
engineering.
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16. Efficiency frontier
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17. Relevant PPC approach in food
production
Although all three PPC approaches are relevant in food production,
on a facility level the decision most often comes down to; which
production activities should be based on forecasts and which should
be triggered by customer orders? For simplicity, the decision can
therefore be reduced to a choice between MTO, where all processes
are triggered by an order, and MTS, where all processes are
performed to forecast.
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18. Differentiated PPC in food production
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19. Conclusion
• Tuning in PPC is done based on analyzing the benefits arising
because of change.
• Anticipated effects are considered in six categories
– Quality
– Speed
– Dependability
– Flexibility
– Cost
– improvements in the performance of PPC function
The implementation of the new PPC solution should include a review
and redesign of the PPC function and processes – which should lead
to simplification, formalisation, standardisation and validation of PPC
processes. In addition, the new PPC system should automate a
number of PPC tasks, thus reducing the risk of human errors and
freeing up central and local resources to focus on more value-adding
activities.
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20. References
• http://catalogue.pearsoned.co.uk/assets/hip/gb/hip_gb_pearsonh
ighered/samplechapter/0273756192.pdf
• http://www.accel-team.com/control_systems/h_control_01.html
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