Production planner as logistics added value
The two processes of production planning and scheduling are mostly complementary, but in some cases, companies may use only one of the two; the choice depends mainly on the type of production.
The purpose of production planning and scheduling is to keep the production process flowing with maximum efficiency by balancing production needs with available resources in the most cost-effective way. It is, also, to make sure that orders are filled in the most efficient way, without interruptions, delays or stress.
Production planning implies thinking in advance about what to do and how to do something. While scheduling involves allocating resources or production facilities to process work orders. In this, various jobs compete for the limited resources available.
Production planning is a complex process that involves several functions and resources in the company and operates on long-term forecasts; it works with orders planned by MRP (Material Requirement Planning) and firm orders planned by MPS (Master Production Scheduling) outside the cumulative lead time window.
Production planning is a process that is put in place by manufacturing companies to organize their production department and to plan production for a more or less close time frame; planning the production, or scheduling, means working by converting planned orders from the MRP into fixed planned orders with the MPS and, finally, into work orders at the time they enter the production time window or within the cumulative lead time. This process involves several business functions, numerous resources and tools to reason about forecasts that vary from short to long term and is also known as production planning.
Production planning and scheduling
The production scheduling process can be divided into two parts, production planning and scheduling.
The elements that make up a production plan for sedApta can be divided into two parts: the Master Planning (which includes both the aggregate production plan, also called Sales & Operations Planning, and the Main Production Plan or Master Production Schedule with its feasibility checks) and the Detailed Planning (consisting of the MRP, or Material Requirements Planning, and the production schedule).
The roles involved in the production planning process are diverse, and each with its own tasks and responsibilities:
- the production manager is the person who plans and coordinates production activities with the aim of increasing productivity levels. Usually his or her tasks are to plan and ensure the implementation of production stages based on the needs of business functions (deciding on times and methods), coordinate warehouses and logistics (monitoring stock levels), check the condition of machinery and equipment, organize and manage human resources in the production department (in relation to the production plan), define the operating calendar (based on which all departments organize activities the times and resources to be used); in detail:
- plan and implement production steps based on the needs of business functions by deciding the timing and methods of production itself
- coordinate logistics and warehouse activities, ensuring the monitoring of the stock level of products and materials needed for production processes
- check the operating status of machinery and equipment
- plan, organize and manage the human resources of the production department, in relation to production flows
- collaborate in the preparation of production budgets and is responsible for cost containment in the area of his or her responsibility
- establish the operating calendar, according to which all departments organize the activities the times and resources to be used.
- the production planning manager is the person who schedules production activities, from Demand Planning to detailed scheduling, ensuring that objectives are met. The main tasks of the production planning manager are to maintain and improve the performance of the production process, perhaps through the use of a DDMRP solution. Specifically:
- define productivity, quality, safety and work organization requirements
- ensure validation and monitoring plans for tools, machines, equipment and processes
- schedule production
- manage the procurement of components and raw materials, stocks of materials, semi-finished and finished products
- optimize resources
- promote the production of semi-finished or finished products.
The production planner or scheduler – the one who is actually in charge of implementing production plans and who in turn can be declined into: Materials Planner, Processing Planner, Production Planner, Work Account Planner, etc.
Production planning software is an indispensable tool for manufacturing companies that want to make a difference in their target market and be competitive. The benefits they enable range from full control of the production department to the prediction of critical issues, while managing to achieve a significant improvement in service level due to lower average lead time.