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Production Planning Functions

The production process includes a sequence of operations that transform raw materials from a given form to the desired form of outputs.
To achieve this basic objective of production and operations management, it applies production planning and control functions which are the management tools that coordinate all manufacturing activities.
Production planning and control is the process of planning, directing, coordinating, and controlling the firm’s facilities to achieve the predetermined production objectives at the right time, at the right cost, at the right quantity, and at the right quality.
Objectives of Production Planning and Control
1. To confirm the effective use of all resources.
2. To effectively manage labor, machines, and various supporting departments.
3. To reduce idle time in the production cycle time
4. To retain optimum inventory levels
5. To assure flexibility in manufacturing operations.
6. To prepare production schedules and ensure the product is completed at right time.
7. The ultimate objective is to deliver the required quality in the required quantities to the customer in the required delivery schedule to achieve maximum customer satisfaction and minimum possible cost.
Major Functions of Production Planning
1. Estimating
2. Routing
3. Scheduling
4. Loading

1.       Estimating
Estimating is the process of deciding the number of products to be produced and the cost involved in it based on the sales forecast.
Estimating manpower, machine capacity, and materials required to meet the planned production targets are the key activities before budgeting for resources.
2.       Routing
Routing is the process of determining the sequence of operations is performed in the production process.
Routing determines what work must be done where and how.
Route sheet:
A route sheet is a document providing information and instruction for converting the raw materials into finished parts or products. It defines each step of the operations and lays down the precise path or route through which the product will flow during the conversion process.
Route sheets contain the following information
·         The operations required and their desired sequence.
·         Machine to be used for each operation.
·         Estimated setup time and operation time per piece (standard time)
·         Tools, jigs, and fixtures required for the operation.
·         Detailed drawings of parts, subassemblies, and final assemblies.
·         Inspection procedure and tools required for inspection.
·         Packing and handling instructions
Symbols Used in a Process Chart
Example of a Route Sheet
3. Scheduling
Scheduling is the process of fixing priorities for each job and deciding the starting time and finishing time for each operation. Scheduling is the activity of fixing the timetable for starting dates and finishing dates of production functions.

Scheduling is prepared using Gantt Chart  which is expressed in a series of horizontal lines which show the work priorities and timelines
Elements of scheduling
·         Demand forecast
·         Production plan
·         Master production schedule
·         Priority planning
·         Capacity planning
·         Facility loading or machine loading
·         Evaluation of workload
·         Sequencing
4. Loading
       Loading is the process of converting operation schedules into practice in which specific jobs are assigned to machines, men, or work centers based on relative priorities and capacity utilization.
       Loading is important to avoid either overloading or underloading the facilities, work centers, or machines to ensure maximum utilization of resources.
Objectives of Loading:
·         Reduce waiting time for jobs to be loaded on the machines.
·         Balance workload with the available machine and labor capacity.
·         Reduce idle time of men and machines.
·         Increase the efficiency of utilization of the plant capacity.

References: 
Heizer, J. (2016). Operations management, 11/e. Pearson Education India.
Barry, R., & Jay, H. (1999). Principles of operations management.

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