A project report on Production Planning and Control (PPC). This report will help you to learn about:- 1. Introduction to Project Planning and Control 2. Functions of PPC 3. Production Planning 4. Production Control 5. Objectives of PPC 6. Activities 7. Organisation 8. Advantages.
- Project Report on the Introduction to Project Planning and Control
- Project Report on the Functions of PPC
- Project Report on Production Planning
- Project Report on Production Control
- Project Report on the Objectives of PPC
- Project Report on the Activities of Project Planning and Control
- Project Report on the Organisation of Project Planning and Control
- Project Report on the Advantages of Project Planning and Control
Project Report # 1. Introduction to Project Planning and Control:
As we know that production requires the organised utilisation of natural resources, men, money, material and machines. We also know that “production is an organised activity of converting raw materials into useful products.”
But before starting the work of actual production, production planning is done in order to anticipate possible difficulties and decide in advance as to how the production should be carried out in a best and economical way.
Since mere planning of production is not only sufficient, hence management takes all possible steps to see that plans chalked by the planning department are properly adhered to and the standards set are attained. In order to achieve it, control over production is exercised. The aim of production control is to produce the products of right quality, in right quantity, at the right time by using the best and least expensive methods.
Production planning and control can thus be defined as the process of planning the production in advance, setting the exact route of each item, fixing the starting and finishing dates for each item, to give production orders to shops and lastly to follow up the progress of products according to orders.
The principle of production planning and control (P. P. C.) lies in the statement “First plan your work, then work your plan”.
Production planning and control comprise the planning, routing, scheduling, dispatching and follow up functions in the productive process, so organized that the movement of material, performance of machines and operations of labour, however subdivided, are directed and coordinated as to quantity, quality, time and place.
Production planning and control can also be defined as the coordination of the series of functions according to a plan which will economically utilize the plant facilities and regulate the orderly movement of goods during the entire manufacturing cycle, from the procurement of all materials to the shipping of finished goods at a predetermined rate.
Project Report # 2. Functions of PPC:
Following are the main functions of the production planning and control:
Before starting any work, it is necessary to plan the things properly for getting best results. Similarly for production, planning in advance is very necessary and if there is no planning then how shall we control? It is the planning department which decides about each element of the job in anticipation that what work shall be done, where, how and when it shall be done.
The functions of planning are grouped as under:
(i) Investigation about the complete details and requirements of the product to be manufactured.
(ii) Pre-determination of future achievements.
(iii) Planning the design of product going to be manufactured.
(iv) Planning about the quality and quantity of materials which are to be consumed.
(v) Planning about the standard of quality of products to be manufactured.
(vi) Planning about the sequence of operations.
(vii) Planning about the capacity of equipment’s.
(viii) Planning about internal transportation.
Requirements of the Planning Department:
Following information must be available with the planning department for efficient working:
(i) Detailed drawing of components and their assemblies.
(ii) Complete up-to-date information about the stores and delivery times.
(iii) Complete information about the equipment’s, their capacities, specifications etc.
(iv) Complete information regarding standard times allowed to workers for the jobs being manufactured.
(v) Complete knowledge of market conditions.
(vi) Type of workers employed and their salaries.
For manufacturing a product, required process needs to be planned. Process planning is used in determining the most economical method of performing an activity. Process planning develops the broad plan of manufacturing a product or a component.
Process planning is the systematic determination of method or process by which the product is to be manufactured economically and competitively within the limits of design specifications laid down. It consists of devising, selecting and specifying processes, machine tools and other equipment to convert raw materials into finished products.
The process planning involves the detailed planning of the process of production for the product of a specified quality and quantity at a minimum cost with available resources.
For carrying out process planning following information’s are required:
(i) Quantity of work to be performed.
(ii) Detailed specification of the product.
(iii) Quality of work.
(iv) Availability of equipment’s, tools, and manpower with period.
(v) Sequence of operations to be performed.
(vi) Standard time for each operation.
Steps Involved in Process Planning:
(i) Most economical process is selected depending upon: current production commitments, delivery date, quantity to be produced, quality standards.
(ii) Selection of materials: right quality, shape and size of raw material.
(iii) Selection of Jigs, fixtures and special attachments.
(iv) Selection of cutting tools.
(v) Selection of inspection gauges.
(vi) Make the process layout indicating sequence of operation.
(vii) Documentation of process i.e. for operation, route sheet etc.
Routing may be defined as the selection of path which each part of the product will follow while being transformed from raw materials to finished products. Path of the product will also give sequence of operations to be performed while being manufactured.
In other words, routing means determination of most advantageous path to be followed from department to department and machine to machine till raw materials get its final shape.
Routing determines the best and cheapest sequence of operations and to see that this sequence is rigidly followed.
Routing in Industries:
Routing in industries depends upon the nature and type of industry, as explained below:
(a) Continuous Industry:
As such industries are almost automatic, therefore their routing is very simple. The plan of industry is laid during its erection time for a particular sequence of operations. The raw materials enter the plant, and automatically move through different processes till it get final shape. Therefore, once the route is decided in the beginning, generally, no further control over the route is needed.
(b) Assembly Industry:
Such industries require various components to be assembled at a particular time. Therefore, it is necessary that no component should fail to reach at the proper time and proper place in required quantity otherwise whole of the production line will be held up, resulting wastage of time and production delay.
The examples of such industries are cycle, scooter, car, radio, type-writer, watch etc. These industries require much attention for routing.
In these industries, a work-flow sheet for every component is prepared. This gives full particulars about the processes, machines, and the sequence in which parts will reach at a particular place and time. As this type of routing requires good technical knowledge, therefore, the staff of the production planning and control department must be qualified and experienced one.
(c) Job Order Industry:
As these industries always handle different products, therefore, after receiving the manufacturing orders, the planning department has to prepare each time detailed drawing and planning.
This will indicate the proper sequence of routes for the job. Therefore, in such industries the production planning and control department should be very expert in their work so that planning can be made after receiving manufacturing orders.
Scheduling determines the programme for the operations. In scheduling, order of sequence of each operation and their starting and finishing time is decided so the required materials, machines etc., may be kept ready as per schedule.
Thus, scheduling may be defined, as “the fixation of time and date for each operation” as well as it determines the sequence of operations to be followed. This programme is prepared by the planning department and assigns timing for various operations or processes.
Routing and scheduling can be easily understood by the examples of railways: A railway map shows the routes, which the trains follow and the stations on that route. This is what is known as ‘Routing’? Similarly, Railway time table gives the exact timing at which all the trains start and the time they take to reach at various stations and how long they halt there. It is known as ‘Scheduling’.
Types of Schedules:
Schedules are of the following types:
(a) Master Schedule:
It shows the dates on which important production items are to be completed. It is a weekly or monthly break-up of the production requirements for each product. Whenever any order is received, it is accommodated first in the Master Schedule considering the availability of the machines and labour.
Thus, it helps Production Manager for advance planning and to have check over the production rate and efficiency.
(b) Shop or Manufacturing Schedule:
After preparing master schedule, shop schedules are prepared. It assigns a definite period of time to a particular shop for manufacturing products in required quantity. It shows how much products are to be prepared and on what day or week etc.
Factors Affecting Scheduling:
Following factors affect production scheduling and are therefore considered while scheduling plan is prepared:
(i) Customer’s demand.
(ii) Customer’s delivery period.
(iii) Stock of goods already lying with the dealers, retailers and in the firms stock.
(iv) Time required for manufacturing.
(v) Available capacity of production and other resources like money, material, manpower.
(vi) Stock already lying with dealers.
(vii) Stock already lying with the firm.
(viii) How much time available and how much time is required for manufacture.
(ix) Availability of machinery and other facilities.
(x) Availability of raw materials.
(xi) Availability of man power.
(xii) Feasibility of economic production/batch size.
Various techniques are used for scheduling purposes.
Some common scheduling techniques are:
1. Gantt chart
2. Line of Balance
3. Linear programming
4. Network Techniques.
1. Gantt Chart:
When number of activities become too large with the increase in size of the job, it becomes impossible to plan in that minute details, therefore it becomes necessary for the management to plan in greater detail.
In such cases, management need a timely and correct information about the status of all the significant activities, and effect of these on the total project. Management may also require rescheduling and expediting the activities to minimise the adverse effect of delays on the entire project cost and duration.
Gantt charts (also known as Bar charts) are used in such cases, for simultaneous presentation of these informations in a logical manner. Gantt charts are the simple charts which display the schedule as well as make a comparison between actual performance and the original schedule.
A Milestone chart is similar to Bar chart except that it displays the Milestone rather than bars.
2. Line of Balance:
In a continuous manufacturing process, a product move down in line past successive work stations, where one operation after another operation is done while product takes form. This is a line production. The work is done either manually or through a machine at the workstation and it may move manually or through a handling device from one workstation to another.
In this system of production, if a line stops, all the men and machine becomes idle and this results in heavy loss. Thus it becomes most essential to balance the workload of the men and machine along the line. If these are not balanced, i.e., if the work is not nearly the same for all the men in line, as that of the busiest man, then there is wastage of time on the part of each man.
For example, one man has a job of one minute and others 50 seconds then the men with less work load are idle for 10 seconds i.e., 16% of the time, which means a loss of 16% on labour cost on these men.
Therefore, the desired rate of production is converted to a time per work station, which is known as the balancing time or balancing factor or cycle time or station time. This balancing factor is the reciprocal of the rate of production.
Generally the perfect balance is hardly achieved, there is some extra time in at least one operation. In order to balance, generally, the operation with idle time is assigned additional work not necessary to his operation, it may be handling material to the line, inspection of his work, applying lubrication, label etc. Where it is difficult to divide machine operation, the banks are introduced in line.
Balancing is done in following stages:
(i) Making a List of Every Minor Job Required for Assembly:
The task should be splitted into elements of 5 to 10 seconds, and time required for each element is noted.
(ii) Determine the Workload of the Line:
This can be computed by knowing the number of units required per hour and the elemental time for each unit. This will give total man hours per hour for the line. For example, if we require 20 units per hour and each unit takes 1 man hour, then we have to provide 20 man hours per hour on the line. Therefore, if all the jobs are perfectly balanced, 20 men shall be required. Generally balancing of about 75% to 80% is achieved, and therefore, we shall need 25 to 27 men.
(iii) Decide Number of Work Stations Required:
Number of stations in each line are then decided.
(iv) Start Balancing:
While balancing the work, elements which can be transferred from one station to another are also determined, as some elements are necessary to be performed in sequence, while others can be transferred to other.
3. Linear Programming:
A smoothly working industry may suddenly face a problem of reallocation of limited resources available with the firm. This situation may arise due to market situation, change of priorities, change in demand, installing a new capacity, major breakdown in one or more equipment.
The resources that need reallocation or scheduling may be men, material, machines, money, space or time. Since the management objective is to maximise gain out of available resources, therefore maximising of gain under the changed circumstances is also desired.
Such problems are solved through linear programming. Product-mix problems to maximise profit can also be solved through linear programming. Linear programming is a mathematical model to get best solution to a problem involving limited resources.
4. Network Techniques:
Scheduling through network consists of assigning an estimated start and finish time to each activity in a project. A certain amount of flexibility in terms of float is available in certain activities, while some have no float, and are critical and have to be completed as per schedule if the project has to be completed in time.
Cost, availability of work crews, materials and other sources associated with each activity must be considered with reference to start and finish times. These information’s when analysed establish limiting boundary times for each activity. The time charts are used for manpower levelling, resource allocation, and for cost analysis.
Thus network technique is not only used for planning, scheduling and controlling but also helps in optimization in the use of available resources. This technique also helps in rescheduling, as per revised resource availability from time to time.
Load may be defined as the assignment of work to a facility. The facility may be people, equipment, work groups, or an entire plant. Therefore, machine loading is the process of compiling the load or quantity of work assigned to each machine for a given period of time.
Machine loading charts can be used to show the availability of machine and production manager can plan it to use for full capacity. If the machine is under loaded, he can plan to put more work, while the machine is overloaded, he can either plan for overtime (for temporary overloading) or providing additional machine and manpower (for permanent overloading).
Main Objectives of Machine Loading:
1. To engage the machine continuously at work.
2. To assign dates for producing each part of a product so that the total order can be procured in the shortest possible time.
Further, there are two terras generally encounter with the term machine loading,
This may be temporary or permanent. With temporary overloading, the loading can be reduced by overtime work or by diverting the jobs to other machine, if available.
With permanent overloading it can be met by additional equipment’s, change ill the processing method or by procuring the component by direct purchasing or sub-contracting.
2. Under Loading:
This is due to less work. In mass manufacturing under loading can be avoided by producing similar components for stock. Many times under loading is due to inefficient management and wrong planning.
It is concerned with starting the processes. It gives necessary authority to start a particular work, which has already been planned under ‘Routing’ and ‘Scheduling’. For starting the work, necessary orders and instructions are given. Therefore, the complete definition of despatching is “Release of orders and instructions for starting of production for any item in accordance with the Route Sheets and Schedule Charts”.
Functions of Despatching:
Following are some of the important functions:
(i) After despatching is done, required materials are moved from stores to machines and from operation to operation.
(ii) Authorities to take work in hand as per schedule.
(iii) To distribute machine loading and schedule charts, route sheets and other necessary instructions and forms.
(iv) To issue inspection orders, clearly stating the type of inspections required at various stages.
(v) To order tools—section for issuing proper tools, jigs, fixtures and other essential articles.
Forms used in Despatching:
Following are some of the more common forms used in despatching:
(a) Work Orders:
While starting the production, work orders are issued to commence the desired lot of products.
(b) Time Cards:
Each operator is supplied with this card in which he mentions the time taken by each operation and other necessary information’s. These cards are helpful for the wage payments.
(c) Inspection Tickets:
These tickets are sent to the inspiration department which shows the quality of work required and stages at which inspection is to be carried out. Afterwards these are returned with the inspection report and the quantity rejected.
(d) Move Tickets:
These tickets are used for authorising over the movement of the material from store to shops and from operation to operation.
(e) Tool and Equipment Tickets:
It authorises the tool department that tools, jigs, fixture and other required equipment be issued to shops.
After despatching production orders to various shops, it is necessary to regulate the progress of job through various processes. For this purpose, a follow-up section is formed.
The function of follow-up section is to report daily the progress of work in each shop in a prescribed proforma and to investigate the causes of deviation from the planned performance. This section sees that production is being performed as per schedule and tries to boost it.
Follow-up is done for the following purposes:
Material should reach to shops in required time so that production could be started as per schedule.
(b) Job Progress:
For this follow-up section sees that a particular product is passing through all its operations from raw material to final shape as per schedule. There are more chances of delay, when one item moves from one shop to the next shop, follow- up section tries to remove this delay.
Assembly shops are responsible for assembling the various components. Follow-up section ensures that all the parts should remain ready for assembling purpose in actual quantities at required time.
Causes of Delay:
Following are the main causes which are generally responsible for delays and should be checked by follow-up section:
(i) Errors in routing, scheduling and despatching.
(ii) Shortage and delay of material.
(iii) Equipment breakdown.
(iv) Lack of proper tools, gauges, jigs, fixture etc.
(v) More rejections.
Flow Process Chart:
This is a graphic representation of operations, transportations, inspections, delays and shortages occurring during production. This also gives the information regarding distance moved and time required for different items such as transportation, delays, inspection etc.
Flow process chart for a gear box casting is drawn below:
Inspection is carried out for confirming that quality is of determined standard. During inspection defective parts are rejected so that only products of good quality should reach to the customers. To reduce rejections, inspection is done in various stages starting from raw material to finished shape.
To produce products of good quality, tools and machines are also inspected.
Project Report # 3. Production Planning:
In broad terms, production planning means planning of production. Production planning can be defined as “the means by which a manufacturing plan is determined, information’s issued for its execution, and data collected and recorded, which will enable the plan to be controlled through all its stages”.
Steps in Production Planning:
For production planning, following steps are adopted:
(i) To decide whether to follow job, batch or mass production system.
(ii) Sales Forecasting for estimation of type, quantity and quality of production.
(iii) Planning to meet seasonal demands. Many products have seasonal demands, which need to be predicted, and planning is made to meet this demand by timely procurement of material, planning the production and those of sales.
(iv) Planning the process. Process planning means the preparation of detailed work plan i.e. manufacturing plan. Process planning is the systematic determination of the methods of which a product is to be manufactured, economically and competitively.
(v) Determine the economic batch quantity for manufacturing the product.
(vi) Tools planning. This involves determining tool requirements, plan for procurement, and plan for their maintenance.
(vii) Machine loading and scheduling.
Objectives of Production Planning:
1. To determine the capacity of manufacturing departments and to plan systematically coordinated and related production activities to meet sales requirements.
2. To plan for manufacturing requirements like materials so that, they are available in right quality and quantity at the right time.
3. To translate sales orders into the orders on the works department.
4. To coordinate with different departmental groups so that line balance of activities is maintained.
5. To prepare management in advance for tackling any problem which is likely to happen in the way of achieving production targets.
6. To promote fuller utilisation of plant capacity.
7. To maintain a record of material and component stock in such a way so as to anticipate future requirements.
8. Prepare schedule of requirement.
Basis of Good Production Planning:
Following are the factors which form a basis of good production planning:
(a) Recognition by management of the need for production planning and be prepared to delegate authority as well as responsibility.
(b) To have co-operative effort, the supervisory level personnel’s must recognise that the work schedule is purely an extension of function specialisation. Due to this facility they devote more time to the activities for which they are best suited.
(a) They must understand the scheduled operations;
(b) They should be trained specially to suit the particular system to be adopted;
(c) They must have the interest and aptitude in doing the required work.
(i) Material-purchased or fabricated.
(ii) Tools and equipment’s.
(iii) Method of operation.
(iv) Method of remuneration for workers.
(v) Quality standards & inspection procedures.
(vi) Set up of organisation.
(vii) Reporting on progress of manufacture showing comparison with the prepared schedules.
4. Information about Productive Capacities and Requirements:
i. Knowledge about the component to be manufactured.
ii. Knowledge about production machine with specifications like numbers available, type, feed, speeds and productivity capacities.
iii. Knowledge about manufacturing time required, sequence of operation for parts, components and final assembly.
iv. Knowledge about material requirement in stores, total requirement, time required for getting the newly purchased material.
v. Quantity of materials consumed per unit.
vi. Knowledge about labour employed and productive capacities for each type of labour.
vii. Manufacturing operation of each part.
viii. The availability of required tools, jigs and fixtures for each component.
5. Planning for Controlled Production:
Planning of Production operations should ensure that these proceed under controlled conditions in the specified manner and sequences. Controlled conditions include appropriate controls for materials, production, equipment, processes and procedures, computer software, personnel, and associated supplies utilities and environments.
Following factors also effect the good production planning and control:
i. Complete specification in details.
ii. Advice of job study man for routing of work.
iii. Job study data in case of new operation.
iv. Getting information for every machine about the amount of work to be allotted on the machine.
v. Determination of alternate machines to achieve flexibility.
vi. Layout of the plant, production centres and machines.
vii. Equipment and arrangements for conveying and transporting materials,
viii. Methods and facilities for storage and issue of materials.
ix. Degree to which product is simplified or standardized.
x. Degree to which operations and processes are simplified.
Advantages of Production Planning:
In view of the above factors, production planning is the answer to greater production on the same investment without unduly speeding up workers. Effective planning always means effective control.
The advantages of production planning may be following:
i. Better service to customer in promised delivery dates.
ii. Fewer rush orders in the plant and less overtime.
iii. Lower inventory of work in process.
iv. Less finished stock required to give the same service to customer.
v. Better control of raw material inventory, which contributes to more effective purchasing.
vi. More effective use of equipment.
vii. Less loss of time by workers awaiting for materials, which improve plant morale.
Project Report # 4. Production Control:
Henri Fayol defines production control as, “ensuring that all which occurs in accordance with the rules established and the instructions issued”.
Objectives of Production Control:
1. Issuing the necessary orders to the concerned personnel, so that the production plans may be put into action.
2. To arrange necessary items like materials, machines, tools, jigs, fixtures and manpower in quantity and quality at a time as planned.
3. To see that orders (instructions) are followed so that goods with required quality and quantity may be manufactured and delivered at the promised time.
Fields of Production Control:
Following are the fields where production control is exercised:
(i) Control of Activities:
This involves the release of manufacturing orders, and start plans at assigned time by means of dispatching.
(ii) Control of Materials Movement:
This requires observation of materials from the time it is received from vendor, issuance to shop, and movement within the shop. This all should be according to the plan.
(iii) Control of Tools Availability:
This requires observation of the availability of tools at the right time and at right place.
(iv) Control of Due Date:
To observe that the progress is as per schedule plan and there is no effect of delays or stoppages on production schedule.
(v) Control of Quality Produced:
To observe that right type of material is processed.
(vi) Control of Quantity Produced:
To observe that right quantity of work of acceptable quantity is produced. If one or more products are rejected, the same number is again ordered to be manufactured, to compensate the rejects.
(vii) Control of Labour Efficiency:
This is done by comparing the actual time taken by the workers for compensating a job, with that of time allowed as per plan.
Suppose you own a factory and make steel furniture as and when orders are received from customers.
The procedure you should follow for planning and control of production in your factory is described below:
As factory manufactures the furniture only when the orders are received from customers, therefore, it has job production. As far as furniture is concerned it is expected to manufacture chairs, tables etc. Therefore, we divide factory according to the type of work, i.e. chair section, table section etc.
Suppose an order for the manufacture of steel tables is received. On the basis of information’s, specifications and requirements of the customers, a manufacturing order will be prepared, the copies of which will be sent to various departments. The planning department on receipt of this manufacturing order starts its work.
The planning department then estimates the cost and time required for the products, prepares the drawing and instructions to be supplied to the stores regarding quality and quantity of the material required for the product and the time at which it will be required. It also prepares the instructions to the inspection department regarding the quality of the product to be passed.
Now the planning department works for routing, scheduling despatching, follow-up and inspection.
Planning department prepares detailed routing, sequence of operations to be performed, the machines to be used. Special instructions regarding the quality and other requirements are issued to the foreman.
A master schedule, giving number of tables to be manufactured in given period is prepared. The time is allotted as to suit the customer’s order. The schedule gives the dates of starting and completion for each operation. Schedule is prepared in such a way that the delivery can be made by promised date. If the order is urgent, it is accommodated accordingly and will be given preference to other jobs.
c. Despatching and Follow-up:
Despatching and follow-up activities will be the duties of the foreman. These will be the decentralised activities in the factory. Because the foreman is in- charge of the section, he can give proper attention regarding despatching and follow-up.
He will be responsible for getting the material issued from the stores and for the progress of the work as per schedule. To keep control on progress of the work, he (foreman) has to send the progress report of the various jobs weekly.
Production Procedure after Receipt of an Order:
The procedure which is to be adopted on receipt of an order by the sales department varies in accordance with the organisation of an industrial enterprise. Complete information contained in the customer’s order must be supplied both to the manufacturing and accounting departments.
Whenever sales department of a factory receives order for the supply of products from some concern and if these products are not available in the stock, then this demand is conveyed to the Works Manager. This order is known as Manufacturing Order.
The Works Manager then consults it with the experts and designers about the design and shape of the product and then he passes this order with the opinion of the experts to the Production Superintendent.
This order is then split up in different parts and different types of work are assigned to foremen of different shops according to the schedule of work. This order which production superintendent sends to the foreman with instructions regarding materials, accuracy and operations and with detailed drawing is known as work order.
A specimen of the work order proforma is given as:
Work Order Register:
Every work in the factory is done against a written order known as “work order”. The information of all such work orders is collected in a register known as “Work Order Register”. After completion of work, entries are made in this register for future references and keeping permanent record.
The specimen of “Work Order Register” is as under:
When a work order of a job needs to be splited into two or more than two parts or when the work is of such a nature that it will be performed by several workers, then a separate order is issued for each work order and all the operations performed by different operators are recorded and the time taken by each of them is noted in it.
The job order will thus pass over from one worker to the other till the order is completed. In this case the work done by each worker is first inspected and then it is handed over to the next worker along with the job order for another operation. As this job order will be used by several workers, therefore, it is made of card board or stiff fabricated paper.
After receiving the work order, Foreman splits up the job in different parts according to different operations required on it. The work is assigned to the workers on a card known as Job Card.
This card gives instructions for sequence of operations, sizes, accuracy desired, time allowed and the number of products to be manufactured. This card also helps in finding out the wages of operator (employed on time basis), and also machine loading. These cards are sent afterwards to the Cost Department after checking by the Foreman.
These cards are also known as “Work Tickets” or “Operation Cards”.
A specimen proforma for a Job Card is given below:
This card presents graphically the material used and their progress from machine operation to machine operation. Sometimes they also indicate the percentage allowance for spoilage so that the exact amount of materials required may be arranged.
The particulars mentioned on the route cards generally consist of the operation and its number, the machine number, the type of labour to be employed, the jigs and accessories to be used, the tools required for the operation, the time allowance for setting-up the machine and the time required for the operation.
The routing should be carried out in such a way that there is no congestion or clogging anywhere in production. For better flow and synchronization of production, a thorough knowledge of the capacity of the machines is required and problems may arise when in some cases we may find the retaining of machine grouping more economical while in other cases a special line of machine with a simple straight line route may be more profitable.
After that one route sheet for each part to be manufactured and one job order for each operation on the route is prepared. The planning department fits the work into the routine showing a routing for manufacturer Job specifications are essential for the foreman and others to know exactly the nature of the job to be done. Sometimes instruction sheets supply the requisite information’s to the foreman. Blue prints and detailed lists covering various components are equally important.
It is necessary to watch the progress of work, so that corrective action can be taken, when required. The object of progress control is to achieve the standards set for the efficiency or volume of production. Progress control system should be such that information about the progress of work is furnished timely, adequately and correctly.
Steps in Progress Control:
1. Setting up a system to watch and record the progress. The system should enable to compare the progress of work with that of prescribed target. The progress can be recorded and compared on Bar Charts, Gantt Charts, Curves or other mechanical charts.
2. Making a report on work progress. The report should include the duration of time.
3. Transmission of report. The reports are transmitted to the controlling authority, and the authority analysing the report.
4. Interpretation of the information contained in the progress report.
5. Taking corrective action, if required.
Information’s Required by Production Control Department:
1. Materials requirement
2. Availability of materials
3. Output capacity of production machines
4. Sequence of operations
5. Operation time for each operation
6. Material handling services
7. Progress of work accomplishment.
1. Keeping flexibility in schedule
2. Capacity modification
3. Changing the number of working hours either by employing additional manpower or by doing overtime work.
4. By subcontracting the work or buying the components/items.
Need for Corrective Action:
Corrective action need be taken for:
(i) Arrival of additional emergency work
(ii) Delay in receiving raw materials, tools etc.
(iii) Industrial relation problems.
Project Report # 5. Objectives of PPC:
Objectives of production planning and control department are closely linked with the objectives of the enterprise as a whole.
Keeping in view, the main aim of customer’s satisfaction, objectives of P.P.C. can be summarised as follows:
(i) To deliver the product to the customer when he wants it.
(ii) To follow-up production schedules to ensure that delivery promises are maintained.
(iii) To maintain quality at desired level, i.e. same as that of approved sample.
(iv) To maintain adequate level of inventories, as excess or shortage both are harmful.
(v) To utilise optimum plant capacities.
(vi) To maintain flexibility in manufacturing operation, so that emergency rush can be accommodated.
Production planning and control system which converts the objectives into action is shown in the Fig. 48.1.
Project Report # 6. Activities of P.P.C:
Production planning and control department has to perform following activities in order to achieve its main functions:
1. Planning Activities:
(a) Long Range Planning Activities:
Sales forecast, plant requirement (No. and size), equipment planning, inventory investment.
(b) Short Term Planning Activities:
Sales forecast, expansion of plant capacities, inventory levels, manpower levels, production levels, addition of new product line and plant requirement and inventory investments for it.
(c) Current Planning Activities:
Sales order processing progress of current orders forecast, production shipping promises, order timing, inventory allocation, control of financial goods, manpower control.
2. Routing Activities:
Parts list, bill of material, operation sequences, time allowed for each operation and time allowances, raw-material work in process inventories.
3. Scheduling Activities:
Master schedules, detailed schedules, machine loading.
4. Despatching Activities:
Material requisitions, tool requisitioning, job instructions, reports and returns framing of formats and deciding frequencies regarding materials, tools, progress, delays, machine utilisation.
5. Control Activities:
i. Materials and tools movement.
ii. Physical progress. Delays and other bottle-necks.
iii. Maintaining material supplies, inventory control, purchase requisitioning, expediting material deliveries from vendors to stores.
iv. Storage protection, quality control of materials received, physical verification of stores.
Project Report # 7. Organisation of PPC:
Organisation structure of PPC varies with the size of enterprise, type of layout, volume of production and leadership style, in a medium firm, production control functions are looked after by the production department itself. In large firms, PPC becomes a full Hedged department.
Depending on the size of operation and variety of product range each group of routing, scheduling, dispatching and expediting can be sub-divided further as one each type of product or range of products.
Normally the PPC activities of planning, scheduling and routing have centralized control. However, dispatching, expediting, feedback and control activities are more efficient and economical when they are decentralized. Decisions by P.P.C. Department
Problems related to production planning and control require two major type of decision, one is related to design of system, and the other is related to operation and control of the system. The decisions should emphasize economy, consistence in quality, service performance, and delivery commitments.
Examples of such problems are:
(a) Decisions related to the design of system:
i. Selection of equipment and process
ii. Production design of item
iii. Job design
iv. Layout of machineries
v. Facility layout.
(b) Decisions related to the operation and control:
i. Production control
ii. Inventory control
iii. Maintenance of the system
iv. Quality control
v. Labour control
vi. Cost control
vii. Improvement decisions.
These are the main problems which are required to be solved. Gravity of the problem, however vary from industry to industry, and organisation to organisation depending upon the process involved.
Relationship of P.P.C. with other Departments:
Production planning and control department is required to coordinate with most of the departments. It has to coordinate with corporate planning for knowing planning objectives, with material management department for knowing purchase schedules and inventory levels, with finance department for financial planning, budget formation and cash flow requirements, with personnel department regarding manpower planning and recruitment, with marketing department regarding sales forecasts, with design department regarding preparation of specifications.
Project Report # 8. Advantages of PPC:
Following are the important advantages of Production Planning and Control to the enterprise and to the employees:
(i) Improvement in volume of production within quality limits.
(ii) To improve the level of quality and maintain consistency in standard.
(iii) Optimum utilisation of plant capacity, this enables the utilisation of capital investment.
(iv) Optimum utilisation of services and facilities available in the industry. Services and facilities include electricity, water, air, steam, transport, material handling devices etc.
(v) Improved process efficiency. This enables the enhancement of efficiency of operator (or worker).
(vi) Improves safety. Since product sequence, routing and all other related aspects are properly planned, high level of safety are achievable.
(vii) Overall work cleanliness and no chances of haphazard or hazardous working, if P.P.C. are properly implemented.
(viii) Systematic working acts as motivator for a workman. Job satisfaction can also be achieved as workers are engaged for the works best suited for them. This also creates interest for working.
(ix) Since the workers take interest and every aspect is planned, very less chances of delays due to materials, tools, equipment, delivery etc.
(x) Because of the above reasons, supervision time is also reduced. This allows the supervisors to devote more time towards planning, coordination, feedback information’s etc.
(xi) Motivated workers can help in generating new ideas for improvement in methods.
(xii) These factors results in reducing labour-turnover, and absentism and develop team spirit.
(xiii) This reduces expenses due to proper maintenance of machinery, reduced level of rejects and wastage of materials, reduced handling.