Professional Documents
Culture Documents
A REPORT
On
PRODUCTION PLANNING AND CONTROL IN
EICHER TRACTORS, MANDIDEEP
By
………….
………………...
Date Signature
2. Main Text
2.1 Company Profile
2.2 Interpretation of data
2.3 PPC at Eicher Tractors, Mandideep
2.4 Process of PPC
2.5 Findings
2.6 Conclusion
2.7Recommendations
3. References
4. Glossary
Eicher began its business operations in 1959 with the roll out of
India's first tractor. Today the Eicher Group is a significant player
in the Indian automobile industry with a gross sales turnover of
over Rs. 13,700 million in the year 2002-03
Eicher tractor has been awarded ISO-14001
Today, Eicher Tractors is unbeatable leader in product range of
engines in the 22 HP to 32 HP and gensets in the 15 KVA to 30
KVA categories.
Eicher Tractors, Mandideep is wholly owned subsidiary of Tafe
Motors Tractors Ltd.
Materials
SUPPLIERS CUSTOMERS
Machines
People
Raw Materials Finished Products
Planning Dispatching
Routing Following up
Scheduling Inspection
Loading Corrective
Production planning
Production planning may be defined as the technique of foreseeing
every step in a long series of separate operations, each step to be
taken at the right time and in the right place and each operation to
be performed in maximum efficiency. It helps entrepreneur to
work out the quantity of material manpower, machine and money
requires for producing predetermined level of output in given
period of time.
Search more Project Reports at MBA eNotes Page 12
Routing
Under this, the operations, their path and sequence are established.
To perform these operations the proper class of machines and
personnel required are also worked out. The main aim of routing is
to determine the best and cheapest sequence of operations and to
ensure that this sequence is strictly followed. In small enterprises,
this job is usually done by entrepreneur himself in a rather
adhoc manner. Routing procedure involves following different
activities.
Scheduling
It means working out of 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. It
mainly concerns with time element and priorities of a job. The
pattern of scheduling differs from one job to another which is
explained as below:
Loading
The next step is the execution of the schedule plan as per the route
chalked out it includes the assignment of the work to the operators
at their machines or work places. So loading determines who will
do the work as routing determines where and scheduling
determines when it shall be done. Gantt Charts are most commonly
used in small industries in order to determine the existing load and
also to foresee how fast a job can be done. The usefulness of their
technique lies in the fact that they compare what has been done and
what ought to have been done.
Most of a small scale enterprise fails due to non-adherence to
delivery schedules therefore they can be successful if they have
ability to meet delivery order in time which no doubt depends upon
production of quality goods in right time. It makes all the more
important for entrepreneur to judge ahead of time what should be
done, where and when thus to leave nothing to chance once the
work has begun.
Production control
Dispatching
Inspection
Corrective measures
1.6 Methodology
The study is carried out at Eicher Tractors, Mandideep.
Productions officers are likewise selected who serve as the
respondents of the study. The study extensively explores both the
primary and secondary sources of information.
Options Yes No
Response 10 0
No
0%
Yes
100%
Interpretation
All the 100% respondents believe that production planning and
control is central to the success of any manufacturing unit.
Production planning and control gives direction to the best use of
capacity with optimum utilization of production line, resources,
and other equipments. It helps in waste reduction and leads to
increased profitability.
Options Yes No
Response 8 2
Yes
80%
No
20%
Interpretation
Most of the respondents i.e. 80% are in favor of the statement that
“capacity Planning contributes to the efficient use of facility and
equipments.”
Options A b c d E
Response 8 6 4 2 10
10
9
8
7
6
5
4
3
2
1
0
a b c d e
Interpretation
All the respondents believe that waste reduction and increased
profit is the main objective of production planning, some of them
also believe that optimum utilization of capacity is another
objective of production planning.
Options Yes No
Response 7 3
Yes
70%
No
30%
Interpretation
Majority of the respondents i.e. 70% believe that production
planning and capacity planning are interrelated. Long term
Production planning becomes the basis of capacity planning. Size
of production and type of production depends on capacity, hence
both are interrelated.
Options a b c d
Response 0 9 10 2
10
0
a b c d
Interpretation
Almost all respondents believe in the above statement. According
to them mismatch in load and capacity, leads to customer
dissatisfaction and increase in cost. If the capacity is low and
demand is high, orders will not be completed on time. If load is
less and capacity is more then requirement it will lead to inefficient
use of capacity, hence, cost of production will increase.
Options a b c d
Response 8 0 10 0
10
9
8
7
6
5
4
3
2
1
0
a b c d
Interpretation
According to the data collected from the respondents the
production planning of Eicher Tractors, Mandideep is based on
customer need i.e. dealers demand for particular models, and also
on the basis of resources available.
a) Yes
b) No
Options Yes No
Response 4 6
No
60%
Yes
40%
Interpretation
Majority of the respondents i.e. 60% are in against of the
statement, hence, all the department works in integration. Heads of
all the department sits together and prepares plans which are
properly applicable.
Interpretation
Interpretation
As the main source of bottleneck is timely not availability of
material. So, proper care is taken of the material providers,
transportation of material, and inventory of material. Following
measures have been taken to avoid such bottlenecks:
• Multiple vendors being developed for most of the items.
• Proper inventory level is being asked to maintain.
• Planning being done with the best availability of material
a) Revision of Plan
Search more Project Reports at MBA eNotes Page 29
b) Any other measures.
Other Measures
0%
Revision of Plan
100%
Interpretation
If the results are OK wait until next control period. If not OK,
revision of plan is required to be done. At present people of Eicher
Tractors do not have any other solution except revision of plan to
control deviations in plans and results.
7. Control
In results are not according to the Daily Plans, the plan is required
to be revised. Daily Production Plan is revised number of times
considering the material shortages, problems with assembly line,
etc. if material is post pending i.e. on assembly line its operation
can’t be changed, but, changes can be made in the sequence and
scheduling of pre pending material i.e. material in queue. Efforts
are made to plan a sequence which minimizes the idle time of
assembly line, labour, and other equipments.
2.5 Findings
2.6 Conclusion
2.7 Recommendations
The production planning and control of Eicher Tractors,
Mandideep, highly depends on the material availability. In case of
shortage of material the overall plan get disturbed. If such problem
prevails the optimum results cannot be achieved. To avoid such
problem following measures can be taken:
3. REFERENCES
Websites:
1. www.wikipedia.org
2. www.tmtl.com
3. www.eichertractors.in