UNIT II Need for PPC-Objectives–Functions-Information Required for PPC-Production-

Organization-Manufacturing Methods -Types of Production System-Characteristics of Flow - Job -

Batch - Productivity-Factors Affecting Productivity–Plant Layout-Layout Classification- Layout
Design Procedures- Computerized Relative Allocation of Facilities Technique (CRAFT) – Automated
Layout Design Program (ALDEP) - Computerized Relationship Planning (CORELAP)- Productivity
Measures –Problems– Production control-Loading-Sequencing-Scheduling-Dispatching.
PPC

• Thus production planning and control can be defined as the

"direction and co-ordination of firm's resources towards attaining
the prefixed goals.“
• Production planning and control helps to achieve uninterrupted flow
of materials through production line by making available the materials
at right time and required quantity.
• Planning and control are an essential ingredient for success of an operation
unit. The benefits of production planning and control are as follows:
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
maintined.
NEED FOR PPC
• Production Planning and Control system manages efficiently the flow
of material, effective utilization of human resource and plant and
machinery and respond to customer requirements by utilising
capacities of the company and also suppliers to meet customer
demand.
1. Effective utilisation of firms resources.
2. To achieve the production objectives with respect to quality,
quantity, cost and timeliness of delivery.
3. To obtain the uninterrupted production flow in order to meet
customers varied demand with respect to quality and committed
delivery schedule.
4. To help the company to supply a good quality products to the
customer on the continuous basis at competitive rates.
PRODUCTION PLANNING AND
PRODUCTION CONTROL
• Production planning is a pre-production activity. It is the pre-
determination of manufacturing requirements such as manpower,
materials, machines and manufacturing process.
It involves taking a long-term view at overall production planning. Therefore,
objectives of production planning are as follows:
• 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 production 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 Control
• Inspite of planning to the minute details, yet always (most of the
time) it is not possible to achieve production 100% as per the plan.
There may be innumerable factors which affect the production system
and because of which there is a deviation from the actual plan. Some
of the factors that affect are -
1. Non availability of materials (due to shortage etc.)
2. Plant, equipment and machine breakdown.
3. Changes in demand and rush orders.
4. Absenteeism of workers.
5. Lack of co-ordination and communication between various
functional. areas of business.
• 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. Therefore, objectives of
production control are as follows:
• Regulate inventory management
• Organize the production schedules
• Optimum utilization of resources of production process
The advantages of robust production control are as follows:
• 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
Thus production control reviews the progress of the work, and takes
corrective steps in order to ensure that programmed production takes
place.
The essential steps in control activity are:
• Initiating the production.
• Progressing.
• Corrective action based upon the feed back and reporting back to the
Production Planning.
OBJECTIVES OF PPC
PRINCIPLES OF PRODUCTION
PLANNING:
Customer Demand
Before production planner plan to assign resources, it is essential to
know how much to produce.
Materials
To fulfill production target, the materials availability needed to produce
should be ensured.
Equipment's
The production planner takes into account the capabilities of the
equipment used to produce the output.
Manpower
Manpower planning requires accurately estimating the number of
employees required to do the work.
Processes
Effective production planning makes sure that the processes used for
the output continue to operate efficiently and safely.
Controls
A final production planning principle puts in place controls that detect
problems as soon as they occur.
FUNCTIONS OF PPC
Preplanning is a macro level planning and deals with analysis of data
and is an outline of the planning policy based upon the forecasted
demand, market analysis and product design and development.
PPC functions
The Main Functions of PPC
1. Materials function: Raw materials, finished parts and bought out
components should be made available in required quantities and at
required time to ensure the correct start and end for each
operation resulting in uninterrupted production.
2. Machines and equipment: This function is related with the detailed
analysis of available production facilities, equipment down time,
maintenance policy procedure and schedules.
3. Methods: This function is concerned with the analysis of alternatives
and selection of the best method with due consideration to constraints
imposed.
4. Process planning (Routing): It is concerned with selection of path or
route which the raw material should follow to get transformed into
finished product. The duties include,
(i) Fixation of path of travel giving due consideration to layout.
(ii) Breaking down of operations to define each operation in detail.
(iii) Deciding the set up time and process time for each operation.
5. Estimating: Once the overall method and sequence of operations is fixed and
process sheet for each operation is available, then the operations times are
estimated.
6. Loading and scheduling: Scheduling is concerned with preparation of
machine loads and fixation of starting and completion dates for each of the
operations. Machines have to be loaded according to their capability of
performing the given task and according to their capacity. Thus the duties
include:
(i) Loading the machines as per their capability and capacity.
(ii) Determining the start and completion times for each operation.
(iii) To coordinate with sales department regarding delivery schedules.
7. Dispatching: This is the execution phase of planning. It is the process
of setting production activities in motion through release of orders and
instructions.
8. Expediting: This is the control tool that keeps a close observation on
the progress of the work. It is a logical step after dispatching which is
called "follow-up" or "progress.“
(i) Identification of bottlenecks and delays and interruptions because of
which the production schedule may be disrupted.
(ii) To devise action plans (remedies) for correcting the errors.
(iii) To see that production rate is in line with schedule.
9. Inspection: It is a major control tool. Though the aspects of quality
control are the separate function, this is of very much important to PPC
both for the execution of the current plans and its scope for future
planning.

10. Evaluation: This stage though neglected is a crucial to the improve

merit of productive efficiency.
FACTORS DETERMINING
PRODUCTION PLANNING
Production planning in a company starts with the product design and
extends till the product is manufactured as per the specifications and it
varies from company to company This difference in planning procedure
is because of the manufacturing environment of the company, level of
sophistication of information system and technology adopted.
1. Type of Production System
The Production procedure in job shop is different from both batch and
mass production.
2. Volume of Production
In high volume production, the cost per unit can be reduced by
appropriate planning of production like routing, loading, scheduling and
sequencing and choice of appropriate technology.
3. Nature of operations
The detailed planning is essential in_ manufacturing a single
standardized product on continuous basis whereas flexibility is essential
in case of both job shop and batch production.
ELEMENTS OF PPC
Some of the important elements involved in the process of production
planning and control in organization are: 1. Planning; 2. Routing; 3.
Scheduling; 4. Dispatching; 5. Checking the progress or follow-up and 6.
Inspection.
1. Planning: This is the first and the most important element of production
planning and control. Planning refers to deciding in advance what is to be
done in future.
2. Routing:
Production routing is a process concerned with determining exact route or
path; a product has to follow right from raw material till its transformation
info finished product.
Types of scheduling:
Scheduling is of three types viz:
(i) Master scheduling;
(ii) Manufacturing or operation scheduling;
(iii) Detailed operation scheduling.
(a) Master scheduling:
It relates to a specified period; say a month, a week or a fortnight. It
contains production requirements of a single product or different
products during the specified period of time. It is easier to prepare
master schedule for a single product, but difficulty arises where the
number of products are more. It is also known as over-all schedule.
(b) Manufacturing or operation scheduling:
Manufacturing schedules are prepared in case of process or continuous
type of industries. In case of mass production industries, where uniform
products of same size, colour and design etc., are produced,
manufacturing schedules can be
easily prepared.
(c) Detailed operation scheduling:
This type of schedule relates to allocation of time for each production
operation within each machine and manufacturing process in the
organization.