Get fully solved SMU MBA Assignments
(May 2012)
Master of Business Administration - MBA Semester 4
“Operations Management” Specialization
OM0017 – Advanced Production and Planning Control (4 credits)
(Book ID: B1342)
ASSIGNMENT- Set 1
Marks 60
Note: Each Question
carries 10 marks. Answer all the questions.
Q1. State the
objectives of production planning and control.
Answer :
Production planning is an activity that is performed before the actual
production process takes place. It involves determining the schedule of
production, sequence of operations, economic batch quantities, and also the
dispatching priorities for sequencing of jobs.
Production control is mainly involved in implementing
production schedules and is the corollary to short-term production planning or
scheduling. Production control includes initiating production, dispatching
items, progressing and then finally reporting back to production planning. In
general terms, production planning means planning of the work to be done later
and production control refers to working out or the implementation of the plan.
PPC comprise the planning, routing, dispatching in the
manufacturing process so that the movement of material, performance of machines
and operation of labour however are subdivided and are directed and coordinated
as to quantity, quality, time and place. Planning and control are two basic and
interrelated managerial functions. They are so interrelated that they can be
and often are considered as being one function. Planning is the preparation
activity while control is the post-operation function. Both of them are so closely
related that they are treated as Siamese twins. Planning sets the objectives,
goals, targets on the basis of available resources with their given
constraints. Control is the integral part of effective planning. Similarly
control involves assessment of the performance, such assessment can be made
effectively only when some standard of are set in advance. Planning involves
setting up to such standard. The controlling is made by comparing the actual
performance with these present standard and deviations are ascertained and
analyzed.
Production is an organised activity of converting raw
materials into useful products but before starting that work of actual
production, production planning is done in order to anticipated possible
difficulties and decide in advance as to how the production should be carried
out in the best and economical way.
Since mere planning of production is not only sufficient,
hence management takes all possible steps to see that project or plan 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.
PPC thus defines as the process of planning the production
in advance, setting the exact route of each item give “production order” to
shops and lastly to follows up of
progress of produces according to order. The principles of PPC gives in
the statement, “First plan your work, then work your plan”.
There are few other department associated with PPC are
personnel department, manpower planning, costing department etc. Design
department is important one as “ The design is the problem of anticipating or
trying to do what will be required in future and improving what is being
already produced.
PREPLANNING, PLANNING
& CONTROL
The activities of preplanning, planning and control may be
considered to take place in a time sequence. The preplanning is completed
before production commences. Planning takes place immediately before production
starts and control is exercised during production.
Preplanning :
It is the procedure followed in developing and designing a
work or production of developing and installing a proper layout or tools. It
may be involved many functions of the organization and draws upon forecasting,
product design, jigs and tool design, machine selection and estimating to
enable proper design to be made. In short, preplanning decides what shall be
made and how it shall be made. In respective manufacture a large uneconomic
output could be produced if preplanning
is omitted. It is also important in one of the operations such as setting up a
new plants as preplanning can identify and avoid probable costly errors.
Planning :
This stage decides where and when the product shall be made.
It includes the sequencing of operations via outing and the time schedule for
manufacturing via scheduling. It also states procedures for material planning
and supplies, machine loading and deliveries. To perform as functions properly
it will need past records of performance and to control statistic which may be
obtained from pre-planning, cost control or progress.
Control :
This refers to the stage of ensuring that the planned action
is intact carried out. Control initiate the plan at the right time using
dispatching and there after control makes appropriate adjustments through progressing
to take care of any unforeseen circumstances that might arise. It includes
measurement of actual results, comparison of the same with the planned action
and feeding back information the planning stage to make any adjustments
required. The pattern of control is seen in material control, machine
utilization, labour control, cost control and quality control.
THE MAIN OBJECTIVES
OF PRODUCTION PLANNING
1. To determine capacity of all manufacturing departments
and to plan systematically coordinated and related production activities within
the scope of the enterprise to meet salesrequirements.2. To translate orders
received from sales department into orders on the works department and to
ensure steady plans of production activities.3. To find ways and means through
which product manufacturing requirements such as materials and their necessary
constituents such may be available in right quality and quantity at the right
time.4. To coordinate a number of different department groups so that a fine
balance of activities may be maintained.5. To promote fuller utilization of
plants.6. To assist labour towards right and greater earnings.7. To train staff
in the effective performance of their duties.
CONTROL
The principles of control are the same for production
control, quality control, budgetary control, cost control and other managerial
controls. The basic cycle of events in the control are Action, Feedback,
Evaluation and Adjustment. Since these events are dynamically in continuous
they take the form of a closed-loop circuit. There are seven essential steps in
the establishment and application of operating controls. These steps will be
discussed in their normal sequence and is diagrammatically represented in
figure 1.1.
(A) Operation :
The first step in the control cycle is operation. In this
step, the act of doing something, some faults will be obvious and, therefore,
easily corrected. Other faults will bemire deceptively concealed requiring the
steps that follow to reveal them so that they can be dealt with.
(B) Measurement :
The second step is so measure what is being done. In the
field of quality control for example, variations in physical, chemical,
electrical, dimensional and other properties are measured. In production
control, all operations are measured to determine the time required for their
performance and the capacities of equipment with which work is done. In
automatic electronic and mechanical operations must be measured accurately in
terms of milliseconds before a whole system can be integrated.
(C) Capability
Studies :
Analysis of measurements in step two, aided by many reliable
statistical technique gives an accurate projection of what actually can be done.
In production control we need to know quality process capabilities so that
scrap and defer losses can be figured. Studies of process capabilities tell us
what we can do.
(D) Objectives :
After we discover what we can do, we are ready to figure out
what we should as this may either be more or less than our capabilities. This
decision then leads to plans for using excess capabilities on other plans to
increase capabilities either for quality or quantity so that the objective can
be met.
(E) Evaluations :
As the information is fed back from operations, it is
compared with plans and objectives other evaluations are used to adjust budgets
and costs.
(F) Adjustment :
The last step in production control is adjustment.
Production control adjustments are complicated because they often require
increasing or reducing quantities based upon past operation and sales in
quality control adjustments are made to maintain product quality requirement
within limits. The figure 1.1 illustrates the best cycle in control of
production. In it, image two rotating sequence on the basic elements of action,
feedback and evaluation that come log rein compound adjustment. This is based
on the current information.
(G) Feedback &
Flexibility :
It we shoot at the target but cannot tell how close to the
balls eye or bullet hits out next shot is likely to be no better than first.
But if we do know where the first shot has hit, we can adjust the aim for next
one and thus improve our marksmanship. Information received after the
performance of an action in time to be used as the basis for future,
performance is known as feedback, it is the vital control.
The keys to successful plant implementation are feedback and
flexibility. Information must be provided to measure actual progress against
the planned and when discrepancies exists, the manufacturing enterprise must be
flexible enough to shift, if necessary. This implies the establishment of
details, benchmarks during the planned period. Measures of progress, explicit
statements concerning the assumptions made about the operating environment and
a formal procedure for analyzing the process.“Doubling production within two
years” is not a plan. It is a goal. The plan must indicate how this will be
done, when the various steps will begin and be completed and what assumption
underline the plan and goal. As the plan is being implemented, frequent checks
are required to determine whether or not things are proceeding on schedule e.g.
ordering of machinery, training of new workers, behaviour of market. The cause
behind any discrepancies must be examined. Only then we will know whether to
speed up or slow down present rate or progress or a shift is required ?
WHAT IS FUNCTIONS OF
PPC :
The highest efficiency in production is obtained by
manufacturing the required quantity of product of required quality, at the
required time by best and cheapest method. To certain this objective management
employs PPC tool which coordinates all manufacturing activities. The main
functions of PPC are the coordination of all the activities, which exist during
production or manufacturing.
(I) Materials :
Raw material, standard finished parts, finished parts of
products must be available while starting the operation within the time.
(II) Methods :
The purpose of this function is to analyze all methods of
manufacture and select the best method according to the given set of
circumstances and facilities. It determines the sequence of operations and the
division of product into the assemblies and sub-assemblies, modified by the
limitation of existing layout and work flow.
(III) Machines And
Equipments :
Methods of manufacturing have to be related to the available
production facilities coupled with a detail study of equipment replacement
policy. Maintenance policy, procedure and schedules are also functions
connected with managerial responsibilities for equipment. Design of economy of
jigs and fixtures constitutes some of major duties of PPC.
(IV) Routing :
Routing determines that work will be done on the product of
parts as well as where and How it will be done. It estimates the operations,
their path, sequence proper class of machines and personnel required for these
operations. An analysis of the article do determine what to make and what to
purchase. Decision as whether to fabricate component or purchase it from
elsewhere. These are based on relative cost, technical consideration purchasing
policies, availability of equipment, personnel, skill. An analysis of article
to determine what material are needed :- It depends upon the drawing,
specifications, standard of quality, identification symbol, application in product.
This depicts the additional material needed Figure 1.2 demonstrate the general
procedure in production routing.
(V) Estimating :
When production orders and detailed operation sheet
available with specification feeds, speed and use of auxiliary attachments and
method, the operation time can be worked out. It may be consequently results in
wide scatter of operation times and unduly large fluctuation and perhaps
instabilities in time schedules.
(VI) Loading &
Scheduling :
Machines have to be
loaded according to their capabilities performance the given and according to
the capacity. Machine loading is carried out in connection with routing tonsure
smooth work flow work estimating, to ensure that the prescribed methods feeds and
speed are best utilized. Careful analysis of process capacities so that flow
rates along the various production lines can be suitable coordinated. The
distinction between planning and scheduling is largely semantically and based
upon difference in detail and time period. The schedule is very detailed plan
for an immediate and relatively short time period. The difference between the
plan and the schedule can be illustrated by looking at the objectives. The plan
may ask to double production within two years. The schedule will to produce 300
units of articles during week number 1,200 units during week and so on.
Q2. Bring out the
difference between mass and batch production system
Q3. What are the
chief elements to be considered while implementing the production control
functions/tasks in an
organisation?
Q4. Bring out the
differences between forecasting and prediction
Q5. Explain the
inventory reduction options and tactics
Q6. A transmission
manufacturer supplying to a car manufacturer at the rate of 25 per day
has a holding cost of
the complete unit at Rs. 10/month and produces in batches with a
set up cost of Rs.
10000 each time when the set-up is changed. Its production capacity
is 40 transmissions
per day and works for 300 days in a year. Cost of material inputs
per transmission is
Rs. 3000. Calculate:
a. Most economical
numbers that can be produced in one batch
b. How frequently
should the batches be started in a day
c. What will be the
minimum average inventory cost and production time ?
Get fully solved SMU MBA Assignments
(May 2012)
Master of Business Administration - MBA Semester 4
“Operations Management” Specialization
OM 0017 – Advanced Production and Planning Control (4 credits)
(Book ID: B1342)
ASSIGNMENT- Set 2
Marks 60
Note: Each Question
carries 10 marks
1.a. Differentiate
between forward and backward scheduling
Answer : ORWARD AND
BACKWARDS SCHEDULING
MIE Solutions offers a made to order job shop ERP system
designed for the manufacturer of goods and products. Most accounting systems are designed for the
basic AR, AP and GL side of financials where a manufacturing software product
deals with the actual production of the goods and services. MIE Trak is a full featured ERP system for
the made to order and engineer to order manufacturer.
What is scheduling?
Scheduling is a method where there is a set of x tasks which
need to be completed on a set of y resources in an efficient manner. Wikipedia gives us a good definition of
scheduling "Companies use backward and forward scheduling to allocate
plant and machinery resources, plan human resources, plan production processes and
purchase materials."
What is forward scheduling?
Forward scheduling is taking a job with a number of tasks
and allocates those tasks to resources as early as possible when resources the
resources allow. The first available
time that the resource is available to be used the task should make use of
it. As with all scheduling methods
there are pros and cons on how they work.
Forward scheduling may result in jobs being completed earlier then the
requested due date because forward scheduling schedules the tasks as early as
possible. Forward scheduling tells you
when a job could be completed vs completing the job when required.
What is backwards
scheduling?
Backwards scheduling is taking a job with a number of tasks
and allocates those tasks to resources in reverse orders and schedules the task
on the resource. Backwards scheduling
requires a delivery date from the customer because the system schedules
backwards from the delivery date to arrive at a start date. Backward scheduling tells the manufacturer
if this date could be hit based on the allocation of resources. Unlike forward scheduling which schedules
into the future, backward scheduling could potentially schedule into the past
because the resources were not available to complete the job. Backwards scheduling then may turn around
and actually forward schedule the job to tell the customer the earliest
delivery time.
Scheduling is very complex and this blog will try to go over
many aspects of scheduling from types of scheduling, nap complete problems, how
to allocate resources, defining resources, etc.
·
Some of the benefits of scheduling include :
·
Process change-over reduction
·
Inventory reduction, levelling
·
Reduced scheduling effort
·
Increased production efficiency
·
Labour load levelling
·
Accurate delivery date quotes
·
Real time information
MIE Trak is a job shop software package designed to help
manufacturers manage the work in their shop to the best of their ability.
b. List the
advantages and disadvantages of JIT
Q3. What is capacity? Explain in brief.
Q4. Describe capacity
planning.
Q6. Explain the
importance of supply chain management
Get fully solved SMU MBA Assignments
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