PRODUCTION PLANNING AND CONTROL SYSTEMS (PPC)

PPC is concerned with logistic problems How many products? When to produce them? What materials & resources?

SCOPE OF PPC

PRODUCTION PLANNING
Aggregate Production Planning

High-level corporate planning activity Major product lines Medium-range plan, resulting of the aggregate production planning Individual models within each product line Planning technique usually implemented by computer Translates MPS of end products into a detailed schedule for the raw materials and parts Labor and equipment resources

Master Production Schedule (MPS)

Material Requirement Planning (MRP)

Capacity Planning

PRODUCTION CONTROL
Shop Floor Control

Compare the progress and status of production orders in the factory

Inventory Control

ACTIVITIES IN A PPC SYSTEM

Sales & marketing Aggregate production planning Aggregate planning Master production Schedule (MPS) Inventory records Detailed planning Capacity planning Engineering & manufacturing data base Shop floor control
Sales order s & sales forecast

Product design

Material Requirement Planning (MRP)

Production control

Purchasing department

Operations

Supplier base

Factory

Customer base
from Groover, Mikell, 2000

MATERIAL REQUIREMENT PLANNING (MRP)

MANUFACTURING RESOURCES PLANNING (MRP II)

Management Planning Business strategy Aggregate production planning Master Production Scheduling (MPS) Budget planning Customer service Sales forecasting Order entry Sales analysis Finished good inventory Operation planning MRP module (purchase order and work order releases) Requirement planning Operation execution Purchasing Production scheduling and control WIP inventory Shop floor control Labor hour tracking Financial functions Cost accounting Account receivable Accounts payable General ledger Payroll

ENTERPRISE RESOURCES PLANNING (ERP)

Quality control Maintenance management Marketing support Customer field service Supply chain management Distribution management Product Data Management (PDM)

LNEAS DE PRODUCTOS ERP

Nombre Finalidad Aplicaciones Financieras (contabilidad general, facturacin, cuentas a pagar, cuantas a cobrar, gestin de activos, compras, etc.) Gestin de recursos humanos y nominas Solucin para la gestin de fabricacin Solucin para cadenas de suministro Solucin para la gestin de relaciones con clientes Gestin de compras por Internet Solucin de anlisis del rendimiento de la empresa

Financials

Human Resources Manufacturing Supply Chain Management (SCM) Customer Relationship Management (CRM) E-Procurement Enterprise Performance Management (EPM)

*Francisco Garca Jumela, PL Conslulting Inc. http://www.yoprogramo.com/articulo3.php

MRP, MRPII and ERP

MRP
Purchase orders Work order releases

MRPII
MRP + Aggregate planning and MPS Capacity planning Sales forecasting and analysis Order entry Finished good inventory Shop floor control WIP inventory Labor hour tracking Cost accounting and payroll

ERP
MRP II + Quality control Maintenance management Marketing support Customer field service Supply chain management Distribution management Product Data Management (PDM)

ERP Comerciales
SAP Oracle Intuitive ERP People Soft JD Edwards Siebel Baan

JUST-IN-TIME PRODUCTION SYSTEM (JIT)

Scheduling discipline in which materials and parts are delivered to the next work cell or production line station just prior to being used, it tends to reduce inventory and waste in manufacturing.

LEAN PRODUCTION
Four principles: Minimize waste
Waste forms: Production of defective parts Production of more than the number of items needed Unnecessary inventories Unnecessary processing steps Unnecessary movement of people In lean production a single defect draws attention to the quality problem, forcing corrective action and permanent solution. Greater flexibility in the work force, speed changeover, reducing setup times, and smaller batch sizes. Constantly searching for and implementing ways to reduce cost, improve quality and increase productivity.

Perfect first-time quality

Flexible production lines

Continuous improvement (Kaizen)