ME20026: PRODUCTION PLANNING AND CONTROL:
MANUFACTURNG OPERATION PLANNING AND CONTROL: P:D RATIO:
Concerned with managing the day-to-day activities of the
organisation to satisfy customer demands PRODUCTION
Definition MANAGEMENT STRATEGIES
Planning
o The ratio of total throughput (P) to the time
o Formalised forecast of events that will happen in the future Push Strategies:
it takes for the product or service to be
Variables that can cause things to happen differently to planned Production signals are generated in a top down manner based on demand forecasts
delivered to the customer after the order is
o Changes in customer decisions Signals then given to workstations which push processed parts to the subsequent workstation
placed (D).
o Suppliers not delivering on time Examples of push strategies
The lower the P:D ratio, the lower the uncertainty
o Machine breakdowns o Material requirements planning (MRP)
and risk in production planning and control
o Other unavailability of resources e.g. staff illnesses o Master production schedule (MPS)
Control o Manufacturing resource planning (MRPII)
o Process of coping with changes in such variables o Enterprise resource planning (ERP)
o Allows objectives of plan to be met, even when assumptions
on which the plan was based are no longer applicable
SEQUENCING:
Determining the order and time in which various jobs should be carried out with limited
resources
Sequencing rule Description Methods for sequencing
Physical constraint Sometimes mix of work arriving at a partMaterial Requirements
of an operation may Planningo (MRP): Physical restraints
determine the priority given to jobs o Utilises bill of materials (BOM)
o Customer priority
(e.g. when fabric is cut to a required size and shape, A surplus
listing of all raw materials, parts, subassemblies and
Production Management Strategies: o Due date (DD)
fabric is waste) assemblies needed to produce one unit of a product
Concerned with deciding the manner in which signals are given o Last in first out (LIFO) Manufacturing Resource Planning (MRP
Jobs that physically fit together may be scheduled o Also utilisesto
together master production schedule (MPS) II):
to a production system for starting and stopping work o First in first out (FIFO)
reduce waste Makes timing and volume calculations to meet forecast o Development of MRP
Divided into push and pull strategies o Longest operation time (LOT)
Customer priority Allows important or aggrieved customer or item demand
to be o MRP and information systems
o Shortest operation time (SOT)
processed prior to others, irrespective of theiroorder BOMofisarrival
traversed from top to bottom
o Johnson’s algorithm related to it are integrated in a
Due date (DD) Work is sequenced according to when it is due for Allows orders for all parts of the product to be specified
delivery, Methods aim to improve performance objectives of single framework
dependability, speed and cost
Enterprise Resource Planning (ERP):irrespective of the size of each job or the importanceo Items calculated
of each for each subassembly for each time period
Forward and backward scheduling used to develop othe timing
Singleof individual
database activities
is held for
o Extension of MRP II outside he
customercompany Gross requirements
o Forward scheduling systems such as
Last in o
firstAllows resources withinUsually
out (LIFO) entire selected
enterprise to be managed
for practical purposes The total quantity needed from the item in the time
Tasks are completed as early as possible Inventory management
within a single framework e.g. unloaded an elevator is more convenient on a LIFO basis, period Capacity management
o Systems such as human resources, Scheduled receipts Offers
as there is only onefinance
entranceetc.and are
exit Highdue labour utilisation Production planning
First in firstintegrated
out (FIFO)with production
Akamanagement strategies
first come first served (FCFS) Quantity that will be received to orders placed before
the planning period Flexibility
Longestooperation
Advantage time (LOT) Sequence longest jobs first o Backward scheduling
Enterprise’s ERP can communicate with the
Advantage: occupies ERPcentres
work for long periods Projected on hand inventory
in other
Tasks are item
completed
enterprises The amount of inventory of the that isasexpected
late as possible
to
Shortest operation time throughout
(SOT) the supply
Normally chain
when operations become cash constrained period
Offers
Introduces unprecedented levels of flexibility in the exist at the given time
Short jobs tackled first Lower material costs
supply chain management Planned receipts
Jobs can hence be invoiced and payment received to ease beLess exposure to risks
The quantity of items to received in the timeinperiod
case of
asorder changes
cash-flow problems
the result of orders
Goalsinofthe
sequencing
planning period
Planned order releases o Minimise makespan
Timeinfrom
The quantity that is ordered the start
time of first job to finishing of last job
period
o Minimise lateness
How far tasks go beyond their deadlines
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