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Production
Planning and
Control

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 Introduction
Production Planning and Control

Production

Conversion
Raw Process ( physical
Product
, chemical or
Material mechanical

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 Definition of PPC
Production Planning and Control is the organization and planning of the
manufacturing process.

Production Planning and Control is the coordination of series of

functions according to a plan which will economically utilize the plant
facilities and regulate the orderly movement of goals through the entire
manufacturing cycle from the procurement of all materials to the
shipping of finished goods at a predetermined rate.

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 Objectives of PPC
1- To determine requirement of men, material and equipment.
2- Arranging production schedule according to the needs of
marketing demand.
3- Arranging various inputs at a right time and in right quantity.
4- To ensure maximum utilization of resources.
 Objectives of PPC
5- To maintain optimum level of inventory.

6- To maintain flexibility in manufacturing process.

7- Co-ordinate between labor and various supportive

departments.

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PPC in Manufacturing vs Service Operations
Organizations can be divide into 2 categories.
1- Manufacturing
2- Service

To some extent the service organization's approach to planning

and control is more difficult to manage, for at least four major
reasons.

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 Timing

In service organizations there is less time between recognition of

demand and expected delivery of process out-put.
 Customer Contact
Customer in a service environment is often much more involved with
“output of experience”.
Contact point will is often the person who will be delivering service.

Quality

Inventory
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 Planning

1-Long Term
Planning 2-Medium Term
3-Short Term

Production planning is dynamic in nature and always remains in fluid

state as plans have to change according to circumstances. 10
 Long Term Planning

Long term planning is important in capital intensive industries (like

cement, steel etc.) where capacity additions cannot be done on a short
notice.
It is usually performed for 5 years ahead.
It is capital intensive planning.

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 Medium Term Planning
Medium term planning is done up to 2 years ahead to assess how
demand can be completed from existing facility by utilizing resource
optimally.
In simple words how can we meet the targets with existing resources.

Short Term Planning

It is concerned with the day to day activities when plans are to be
executed and corrective actions taken after efficient monitoring. (In this
coarse, we will cover short term planning – planning from the order
receiving to shipping the finished garments and a little bit with the
previous process). 12
 Control
Then there is a control you must have a control on what you are
producing. If we are overproducing ?
If we are under producing then ?

So, control is basically the matching up of planned progress and actual

progress

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 Production Control
1-Production control is a mechanism responsible for the
implementation of production targets on floor.
2-Making sure that production operations are started at planned
places and at planned time.
3-Observing progress of operations and recording it properly.
4- Taking immediate corrective actions in order to avoid negative
impacts of deviations.
5- Feed back the recorded information to the planning section in order
to improve future plans.

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 Control Systems

However control systems can broadly be divided in two categories.

Open Loop Control System

Closed Loop Control System

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Open Loop Control Systems

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Closed Loop Control Systems

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 Requirements of PPC
1-It should be based on accurate data

2- It should be flexible

3-It must satisfy a set of pre-defined objectives.

4-It must be simple and straight forward

5-It should have a reporting system

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 Functions of PPC

1- Product Planning
This product planning section covers several issues like product
engineering, product design and development, functional and
technological and quality considerations.

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 Functions of PPC

2- Forecast Planning
In Forecast planning two important considerations are kept in mind.
A- Quantity Forecast
B- Demand Patterns Forecast

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 Functions of PPC

3- Process Planning
Process planning includes all the process required to convert inputs
into outputs.
It includes Technology Selection, Process Selection, Machine
Selection, Tool Selection, process parameter selection, operational
sequencing.

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 Functions of PPC

4- Materials Planning
Material specification , material volumes, economic lot sizing,
inventory planning, lot planning etc.
Co-ordination with spinning
Co-ordination with weaving
Co-ordination with procssing

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 Functions of PPC

5- Equipment Planning
Type of equipment, Number or quantity of equipment, Machine
capability analysis, Maintenance planning.

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 Challenges in PPC

You could not meet your production plan every time.

Why so?

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 PPC
Challenges in PPC
Delay in Raw Material Sourcing and approval
Delay in Sample Approval
Production Delay
Recording and communication wrong data
Failing in Final QA inspection

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That’s the end for today

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