includes meaning and techniques

1. PRODUCTION PLANNING AND
CONTROL
submitted by :
Laveena jain (5734)
Srishti (5736)

2. Production Planning
Production is the most important activity of
an enterprise. It occupies significant place
in an organisation because other
functional areas of management viz.,
financing, marketing, personnel revolve
around it. Production is concerned with
transforming raw material into finished
product with the help of energy, capital,
manpower and machinery and is a very
complex and tedious process.

3. The planning of industrial operations
involves four considerations, namely, what
work shall be done, how the work shall be
done and lastly, when the work shall be
done”.
—Kim bait and Kimball Jr.

4. Objectives of Production Planning:
1. To achieve coordination among various departments
relating to production.
2. To make adequate arrangement of men, money, materials,
machines tools, implements and equipment relating to
production.
3. To decide about the production targets to be achieved by
keeping in view the sales forecast.
4. To keep production operation continuous.
5. To achieve desired share of the market.
6. To fix right type of man for right type of job.

5. 7. To achieve the desired level of profit.
8. To make all arrangements to remove
possible obstacles in the way of smooth
production.
9. To achieve economy in production cost
and time.
10. To initiate production on modern lines.
11. To operate the plant at planned level of
efficiency.
12. To develop alternative plans in order to
meet any emergency or contingency.

6. Production control
“the process of planning production in
advance of operations; establishing the
exact route of each individual item, part of
assembly; setting and finishing dates for
each important item, assembly and the
finished products, and releasing the
necessary orders as well as initiating the
required follow-up to effective the smooth
functioning of the enterprises.

7. According to Henry Fayol, production
control is the art and science of ensuring
that all which occurs is in accordance with
the rules established and the instructions
issued”.

8. • Proper co-ordination of the operations of various
sections/departments responsible for production.
• To ensure regular and timely supply of raw
material at the desired place and of prescribed
quality and quantity to avoid delays in
production.
• To perform inspection of semi-finished and
finished goods and use quality control
techniques to ascertain that the produced items
are of required specifications.
• It is also responsible for product design and
development.
continued..….

9. • Provision of raw material, equipment,
machines and labour.
• To organize production schedule in
conformity with the demand forecasts.
• The resources are used in the best
possible manner in such a way that the
cost of production is minimized and
delivery date is maintained.
• Determination of economic production
runs with a view to reduce setup costs.

10. Levels of Production Control
 Programming plans the output of products for the
factory as a whole.
 Ordering plans the output of components from the
suppliers and processing departments.
 Dispatching considers each processing
department in turn and plans the output from the
machine, tools and other work centers so as to
complete the orders by due date.

11. FACTORS DETERMING PRODUCTION
CONTROL AND OPERATIONS
 Magnitude of operations
 Nature of productions operations
 Manufacturing process
 Altitude of the management

12. IMPORTANCE OF PRODUCTION
PLANNING AND CONTROL
 Better service to customer
 Fewer rush orders
 Better control of inventory
 More effective use of equipment
 Reduced idle time
 Good public image
 Lower capital requirement

13. LIMITATIONS
 UNFLEXIBLE
 TIME CONSUMING
 LARGE NO. OF PERSONNEL
REQUIRED
 COSTLY AFFAIR
 UNREALISTIC ASSUMPTIONS ARE
THERE

15. Routing
Kimball and Kimball:
“Routing may be defined as the selection of
paths or routes over which each piece is to
travel is being transformed from raw
materials into finished products

16. ADVANTAGES
 Routing enables optimum utilization of resources.
 It helps in completing the production process in
minimum time and at minimum cost.
 It results in smooth and continuous flow of
production operations.
 It makes possible achievement of production targets
both in terms of quantity as well as quality.

17. SCHEDULING
Kimball and Kimball:
“The determination of the time that should be
required to perform each operation and also
the time necessary to perform the entire
series, as routed, making allowances for all
factors concerned.”

18. LOADING
Loading is the process of allocating specific
quantity of work/jobs to men, machines or
work centers involved in manufacture of
particular product. For this capacity available
at various work centers in terms of man-
hours or machine-hours is determined in
advance.

19. DESPATCHING
The term despatching refers to the process of
actually ordering the work to be done. It
involves putting the plan into effect by issuing
orders. It is concerned with starting the
process and operation on the basis of route
sheets and schedule charts. A practical
shape is given to the production plan. It is
centralised and decentralised.

20. Follow up
Follow-up and expediting is related to
evaluation and appraisal of work performed.
This is an important function of production
control. If goods are to be produced as per
the plans then a proper follow-up of work is
essential to see whether production schedule
is properly adhered

21. inspection
. The purpose of inspection is to see whether
the products manufactured are of requisite
quality or not. It is carried on at various levels
of production process so that pre-determined
standards of quality are achieved. In case the
products are not of proper quality then
immediate steps are taken to correct the
things.

22. ROLE OF INVENTORY CONTROL IN
PRODUCTION CONTROL
Inventory control is nothing but to give uninterrupted
service towards the Production / Sales /Maintenance
etc. with minimum stock. Inventory control is an
important aspect for the growth of company. Stores
inventory is the heart of an industry Inventory
control or stock control can be broadly defined as
"the activity of checking a shop’s stock"

23. Inventory control methods
 Safety stock.
 Reorder point.
 Economic order quantity.
 First-in-first-out.
 ABC Analysis.

24. THANK YOU