PRODUCTION PLANNING AND CONTROL & ORGANISATION OF MATERIAL MANAGEMENT

PRESENTERS Madhuri Sakpal (34)Soumya Shetty (37)Aparna Bhalerao (05)Keerthana Nair (35)Prasad Bhattacharya (45)

Mizan Shaikh (36)

PRODUCTION PLANNING AND CONTROL (PPC)

According to Ray Wild, production planning is defined as follows:

"Production Planning is concerned with the determination, acquisition and arrangement of all facilities necessary for future operations."

FEATURES OF PPC

Most important functionImportant feature of small scale industriesInvolves manufacturing processProduction control is an adjusting processProvides corrective measuresRegulates and stimulates the materials

AIMS & OBJECTIVES OF PPC

Optimum utilization of capacity Inventory control Estimation of resources Removal of bottlenecks Uses production facility Economy in production time Keeps cost controlled Ensures quality Gives benefit to workers Provides benefit to customers

ADVANTAGES OF PPC

Steady production flow Maintain delivery schedules Resource estimation Ensures optimum inventory Minimization of wastages Improvement in labour productivity Low cost of operation Better work environment Team work Facilitates quality improvement

STEPS INVOLVED IN PPC

ROUTING

LOADING

SCHEDULING

DISPATCHING

FOLLOW UP

ORGANIZATION OF MATERIAL MANAGEMENT

Material Department

Engineering department

Product DesignPersonnel

Manufacturing

Department

Marketing department

Product Planning

Industrial Engineering

Plant Management

CENTRALISED MATERIAL MANAGEMENT

Finance

Sales Design Personnel Manufacturing Design Personnel Manufacturing Sales

Sales Design Personnel Manufacturing Design Personnel Manufacturing Sales

President

General Manager(A) General Manager(B)

Central Material

General Manager(D) General Manager(C)

ADVANTAGES OF CENTRALISED MATERIAL MGT.

Big buying power is usefulSpecialized staffHelps in quick decisionsHighly uniform procedureReduces cost of purchasesQuick coordination

DISADVANTAGES OF CENTRALISED MATERIAL MGT.

No belongingness to the product of material personnel

Less coordination with operating department Lack of responsibility And authority Difference in the goals of the business Wrong planning by any of the initiator brings all

the people in trouble

DECENTRALISED MATERIAL MANAGEMENT

Finance

Material Design Personnel Manufacturing Sales Material Design Personnel Manufacturing Sales

Material Design Personnel Manufacturing Sales Material Design Personnel Manufacturing Sales

President

General Manager(A) General Manager(B)

General Manager(D) General Manager(C)

ADVANTAGES OF DECENTRALISED MATERIAL MGT.

Decisions are made closer to the customer Improved level of customer service Consistent with aiming for a flatter hierarchy Better able to respond to local circumstances Good way of training and developing junior

management Should improve staff motivation

DISADVANTGES OF DECENTRALISED MATERIAL MGT.

Decision-making is not necessarily “strategic” More difficult to ensure consistent practices and

policies May be some diseconomies of scale–e.g.

duplication of roles Who provides strong leadership when needed (e.g.

in a crisis)? Harder to achieve tight financial control – risk of

cost-overruns

CONCLUSION

Most Important function for productionProvides corrective actionsHelps in Optimum utilization of resources &

capacityHelps in smooth and efficient economical

completion of productionRemoves bottlenecksImproves productivity

THANK YOU !!