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Group

Addresses decisions on

Acquisition Utilization Allocation


of limited production resources Resources include the production facilities, labor and materials. Constraints include the availability of resources, delivery times for the products and management policies. Oct-12

Main objective is to take appropriate decisions. Typical decisions

Work force level Production lot sizes Assignment of overtime Sequencing of production runs

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Process Planning

Re-planning

Scheduling

Corrective Action

Functions of PPC

Loading

Follow up Dispatching

Combining Functions

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Objective

To predict demand for planning purposes


Laws of Forecasting

Forecasts are always wrong Forecasts always change The further into the future, the less reliable the
forecast will be
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Qualitative Demand Forecasting

Prediction Market Delphi Technique Game Theory Intentions and Expectations Surveys Conjoint Analysis

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Quantitative Demand Forecasting

Discrete Event Simulation Quantitative Analogies Neural Networks Data Mining Causal Models Segmentation

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Concerned with timetable of production


Scheduling arranges the different manufacturing operations in order of priority, fixing the time & date for the commencement & completion of each operation. Types of scheduling

Forward scheduling Backward scheduling


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The pattern of scheduling differs from one job to another which is explained as below.

Master Schedule Production Schedule Manufacturing Schedule Scheduling of Job Order Manufacturing

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To find out and direct

Right people Right place Right time Right price

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Issues

Basic Staffing Calculations and labor hours Working Environment Flexibility/Agility Quality

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The process of determining the production


capacity needed to meet changing demands

Maximum amount of work that an organization is


capable of completing in a given period of time

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Wrong Capacity

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Classes of capacity planning

Lead strategy Lag strategy Match strategy

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Issues

Stand-alone capacities and congestion effects Capacity Strategy Make-or-Buy Flexibility Scalability and learning curves

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JIT is the technique for reducing inventories and elimination of waste in the production system. Objectives

To eliminate waste To improve quality To minimize lead time To reduce costs To improve productivity
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Pull production and kanban JIT is associated with pull systems. Toyota was the first developer of kanban system. Examples

McDonalds' Office Xerox Paper


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Issues

JIT Interdependencies Implementing Issues JIT purchasing Expected Outcomes

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