Levels and Procedures of Production Planning and Control

Production Planning and Control (PPC) operates at different levels to ensure smooth and efficient manufacturing processes. It also follows specific procedures to plan, execute, and monitor production effectively.

Levels of Production Planning and Control:

1. Strategic Level (Long-Term Planning)

At this level, decisions are made for the long-term growth and sustainability of production. It includes capacity planning, technology selection, plant layout, and resource acquisition.

Example: A company decides to expand production capacity by investing in new machinery and advanced technology over the next five years.

2. Tactical Level (Medium-Term Planning)

This level focuses on converting strategic plans into actionable production schedules and resource allocation strategies. It includes material requirement planning (MRP), workforce planning, and equipment maintenance schedules.

Example: A car manufacturer plans production schedules for the next six months based on market demand forecasts.

3. Operational Level (Short-Term Planning and Execution)

This level deals with daily and weekly production activities, ensuring smooth execution of planned schedules. It includes workforce allocation, quality checks, and real-time monitoring of production processes.

Example: A bakery ensures that the required quantity of bread is produced daily to meet local market demand.

Procedures of Production Planning and Control:

The PPC process follows six key procedures to ensure efficient manufacturing:

1. Routing

Routing determines the workflow, sequence of operations, and movement of materials through different production stages. It ensures that work moves through the most efficient path to reduce time and costs.

Example: A shoe factory decides the sequence of cutting, stitching, assembling, and finishing operations to streamline production.

2. Scheduling

Scheduling involves setting timelines and deadlines for different production tasks. It ensures that raw materials, labor, and machines are available when needed. Scheduling can be:

• Master Schedule: Long-term production plan.
• Daily/Weekly Schedule: Short-term production execution.

Example: A pharmaceutical company schedules the production of medicines in batches to meet monthly demand.

3. Dispatching

Dispatching involves issuing orders, instructions, and authorizing work to begin according to the schedule. It ensures workers and machines start operations as planned.

Example: A factory supervisor assigns machine operators specific tasks to start the production process on time.

4. Expediting (Follow-Up & Monitoring)

Expediting ensures timely completion of production tasks by monitoring progress and addressing any delays or bottlenecks. It includes tracking work progress, resolving issues, and ensuring smooth workflow.

Example: A manufacturing unit tracks real-time production data to identify and resolve machine breakdowns quickly.

5. Inspection & Quality Control

Inspection involves checking raw materials, in-process goods, and finished products to ensure they meet quality standards. Quality control helps reduce defects and maintain customer satisfaction.

Example: An electronics manufacturer tests smartphones for battery performance and durability before shipping.

6. Corrective Action (Replanning & Adjustments)

If deviations occur, corrective actions such as rescheduling, reallocation of resources, or process modifications are taken to keep production on track.

Example: A car manufacturer increases night shifts to meet unexpected demand for a new model.