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CHAPTER 1 INTRODUCTION A. INTRODUCTION TO MANUAL The manual that follows has as its goal the explanations, considerations and objectives of a formal program of Production Forecasting, Planning. Scheduling. Loading and Control (hereafter referred to as "Production Control") and to outline procedures to be followed in obtaining its goals. This manual is only a guide, and like a street sign, it can only show you direction; it cannot get you to where you are going unless its directions are followed. The lust pages of the manual will provide an overview of a production control system. The rest of the manual deals with those specific procedures and forms with which you will come in contact daily. We have tried to be specific. Most of the problems or questions that you would have will be covered: however. the examples used will only he fm - ease of explanation. To be effective, all pages must he read and digested; and the information given must be used and improved upon at all times. B. PRODUCTION CONTROL CONSIDERATIONS Because synchronous and modular manufacturing are no longer a buzzwords you should plan your production control system to provide customer quick response. This would include using the Theory of Constraints popularized by Eli Goldratt, author of The Goal. Keep away from unit loading and controls. Instead, consider loading and controlling in Standard Allowed Hours which will allow you to better
Transcript
Page 1: Anand 1

CHAPTER 1

INTRODUCTION

A. INTRODUCTION TO MANUAL

The manual that follows has as its goal the explanations, considerations and

objectives of a formal program of Production Forecasting, Planning. Scheduling.

Loading and Control (hereafter referred to as "Production Control") and to outline

procedures to be followed in obtaining its goals. This manual is only a guide, and

like a street sign, it can only show you direction; it cannot get you to where you

are going unless its directions are followed.

The lust pages of the manual will provide an overview of a production control

system. The rest of the manual deals with those specific procedures and forms

with which you will come in contact daily. We have tried to be specific. Most of

the problems or questions that you would have will be covered: however. the

examples used will only he fm- ease of explanation. To be effective, all pages must

he read and digested; and the information given must be used and improved upon

at all times.

B. PRODUCTION CONTROL CONSIDERATIONS

Because synchronous and modular manufacturing are no longer a buzzwords you

should plan your production control system to provide customer quick response.

This would include using the Theory of Constraints popularized by Eli Goldratt,

author of The Goal. Keep away from unit loading and controls. Instead, consider

loading and controlling in Standard Allowed Hours which will allow you to better

Page 2: Anand 1

productivity. This assures that the supervisors meet scheduled completion dates

using a balanced and timely program without constraints. ht addition, because of

the need to satisfy customer demands and keep the lines balanced, the Production

Control function should be responsible for ptility Opsratora, if you don't have

utility operators now you will need to consider them to make your system work

better).

C: OVERVIEW OF AN ENTIRE PRODUCTION CONTROL SYSTEM

Production Control's function is to produce products with minimum total cost in

the required planned delivery timcframe.Theproduction plan should_perlit one

to anticipate the progress of the production of any and every individual product _

.

('rout the receipt of the raw material to the shipment of the order. "Me production . .

plan should also permit one to anticipate the itemized and total cost of producing

and delivering the product, The efficiency of the production control performance

is equal the precision of the time and cost anticipation. The greater the -

deNiation from the scheduled time and cost figures, the poorer the production

control performance.

Production control is composed of a sequence of five activities:

1. Analyzing: Is the process of determining the quality specifications of the

product. The analysis provides the specifications for the following

elements of production:

a. raw materials;

b. production equipment and tools;

c. Production personnel; that will yield the durability, utility, and emotional appeat,(style factors) required for the garment.

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control process. An in-depth discussion on supervisory development is beyond the

scope of this manual'. We will therefore only cover the role suPervisors should

and should not have in a meaningful production control process.

Traditionally, supervisors are asked to control production and keep the work

moving. Experience has shown the inefficiency of this approach. Because the

supervisor is usually busy moving bundles, the supervisors have little time to deal '

one-on-one with their people to help them improve their production, etc. This

makes direct labor much more expensive then it should be or could he.

To reduce costs and improve production and quality it is suggested that the

supervisor's job should be divided into two parts; people and data. Thedata

part 7 associated with directing and controlling the work-in-process activities (i.e.

bundle people, production reports, etc.) — should become the responsibility of

Production Control. This will' give the supervisors more time to deal with their

primary job which is to see that everyone of their operators earn a minimum of

one hour for every hour they work.

Line supervisors are one of the keys to balanced operations. lu traditional,

progressive bundle factories, supervisors usually have little or no training in how

to correctly balance lines and it is precisely here that Production Control can aid

the supervisor. By providing timely information to the supervisor, Production

Control can help guide the production lines toward an ominium level or

A Professional Series Supervisory Development Training Manual is available from Gene Levine Associates. Call (561)-637-S139 for further information.

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The entire Production Planning and Control System is optional. In addition

Production Planning could be used without the Production Control section or vice

versa, or Planning and Control could be used without Production Costing.

The main objectives ofthe Production Planning System arc:

1. To assist in the planning and recording of over-all production requirements. This includes analysis of production plan to orders, stock on hand or sales budgets to ensure that the plan is reasonable in relation to requirements.

2. To assist in the translation of the over-all requirement into a production schedule.

3. Material Requirement Planning ("M.R.P.") to enable the user to correctly schedule the ordering of raw materials. M.R.P. combines the Production Plan with the Bill of Materials structure to arrive at material requirements.

4. Resource Capacity Planning to enable the user to analyze physical capacity of men and machines against capacity required by the onler situation or the actual production plan.

5. To provide facilities to plan the production schedule in detail and ensure that production resources are fully utilized without unnecessary under or over-utilization.

6. To launch Production Jobs with required documentation (Job Cards, Material Requisition Forms, Bundle Tickets, etc.). These will detail to production personnel the jobs to he carried out, the materials required to be drawn for these jobs, and the activities to be performed in the production process.

7. To capture and monitor details of work in progress and production quantities.

8. To maintain a tracking history of job progress.

9. To report on exceptional conditions to ensure that jobs progress according to plan.

10. To capture and record the true cost of production and to record abnormal costs such as reprocessing costs. etc.

1 I. To report on the costs and efficiencies of completed jobs in the following categories:

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CHAPTER I

This presents the quality measuring scale for the product. The anal sis

also gives the basis of quantitative production capacity of each_operation,

job, or process. This is one of the requirements for forecasting the

anticipated load of production per unit time.

Forecasting: Forecasting is tlje_process of estimating the future_ sales

volume, Monte of sales, and the rate of deliiteryi

3. Planning (organizing and scheduling): Planning is the activity of __—

organizing the sequence of communications and material processing.

Every production process must be initiated or curtailed by some

communication. Without such governing devices there could be no

precision scheduling. Scheduling is the second half of the planning

activity; it adds the lyten't_to organizing.rwhatnami-allore."

4. Routing: Routing consists of assigning the "who" to_ planning and

accenting the what, where, and when.

5. Controlling: . Controlling is the activity with which the production

manager inspects and corrects the execution of the production plan. It is

the action that must be taken to change the plan whenever production is

behind 'the .planned,scheduje_because of improper_phmning, unforeseen

emergencies, or unpredicted occurrences.

D. WHAT DOES A PRODUCTION CONTROL SYSTEM ENTAIL?

Pr uetion Control System are generally split into two main sub-systems.

1. Production Planninc! and Resource Planning.

2. Production ControLand.Cost Production Reporting.

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12. Planned quantities versus quantities actually produced.

So, production planning, scheduling and control generally involve, the.

organization and planning of the manufacturing process.' Specifically, these

activities consist of initial planning of workload capacity versus sales, scheduling,

dispatching, and inspection coordination. included are control of materials,

methods, machines, tooling, and operation times. The ultimate objective of all

these activities is the organization of the supply and movement of materials and

&lir) r,machine utilization and related activities In order to help manufbcture

customer orders or stock) in the most efficient time, at the lowest possible-cost

and with the highest quality.

Production Control involves people and activities that striveto plan, schedule, . _

coordinate, monitor work flow and control production within manufacturing

factory. Its duties include reviewing master production schedules and work orders .

and revising schedules according to availability of workers, materials, and

equipment. We use Standard Allowed flours (S.A.1 -1.$) as a basis for determining _

consistent flow while satisfying customer demand. Through this system,

Unbalanced conditions can be located easily before becoming an excess cost

factor.

Production Control also aids the supervisor in guiding his/her line toward an

optimum level of productivity — in order to assure that scheduled completion dates

• are achieved. Production Control assures that products arc being manufactured on

a balanced and timely program.

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E. FUNCTIONS OF PRODUCTION CONTROL

It is necessary to specifically define what functions belong in the category of

production control. There is to be a clear distinction between production control

and actual manufacturing; i.e., the same personnel will not be utilized by both. -Do

not have a mistaken impression that, first, there are numerous varieties of

production control systems; second, that there arc definitely standard systems

which apply directly to certain types of products and, third, that setups can be

'Copied bodily from other companies and, when. introduced, will work with

corresponding success. Organized production control is necessary for the most

successful operation; but the methods_installed must be definitely adapted to the

particular factories in which they are to,buised.

Production control is a facilitating service to manufacturing manned by staff

personnel, Production control coordinates all of the necessary production

information and production aids,....including_methods, times, materials, and

attachmepts: it directs and checks on the course and progress of work, and closes

the reeords . when work on an order has been completed. It has sgmetimcsbeen

called the "paper work" of manufacturing, although this term is too limited to

cover all its duties. In general, it relieves the factory manager of non-operating

responsibilities and removes from the supervisor the burden of preliminary

planning and recording duties.

The spread of production control department functions should be designed to

work with (1) the nature of your business and (2) the way in which your

organizational activities arc divided. Your engineering department should prepare „...

fundamental data; drawings, specifications of material and or operations on each „ .

piece, lists of parts, inspection standards, and similar technical data. Your

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engineering department is also charged with process maintenance, continually

studying improvements in processes. The starting point is design. and development. It may be merely a sketch or drawing from which samples or

patterns are prepared.

Much analytical work falls to both the production control and engineering

departments. In one department or another, someone must analyze the proposed

product into its components, determine the quality and quantity of material,

specify standards of quality for the product, and provide all the necessary

technical data on which accurate planning must rest.

F. WHY PRODUCTION CONTROL?

As customer bases grow, there arc more and more style variations within -product -

groups. Style variations also bring about situations where lines should be loaded

in hours rather than units. Ever-changing demands make it more difficult for lines

to maintain their balance , or meet schedules. It becomes apparent that a closer

check on the production is necessary. As you will see, using control points in each

line you can to correct any excessive buildups or deficits that would cause lines to

be out of balance or would have adversely affect producation and/or shipping.

Today, production control should be responsible for the scheduling; loading. ---

control ling and reporting of balance conditions, lines and the attainment of

scheduled completion dates.

G. FACTORS DETERMINING CONTROL PROCEDURES

Control procedures are determined by several conditioning factors:

. 2.

Varied or repetitive character of operations.

3. Nature of manufacturing processes.

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Magnitude of operations. . _

There is a basic pattern used for developing a production control organization and

a basic line of procedure that production control activities must follow. TheSe

have to be adapted, not only to the kind of product, but to the specific factory. The

apparently wide difference between the method of planning and operation from

one factory to another arises solely front the way in which the production control

activities are necessarily carried on, not from fundamental variations in the "what,

why, when, where, and how" of such activities, Various systems of production

control represent adaptations and should not be regarded as totally different

conceptions of the control functions and procedures.

1AMED AND REPETITIVE OPERATION: In general, variety of operations

complicates the problem of planning and control, whereas repetitive operations,

since they reduce variety, tend to simplify the problem.

In practice, there are all sorts of ;variants between these two extremes. These may :471

be represented by the continuous production of a single standardized product on 71

111 the one hand and the completely special-order business on the other. Some of the

principal variants are:

not

I. Manufacturing to order, which may or may nm be repeated at regular

intervals. 11

2.Manufacturing for stock, where the product is made up of parts but the

processes are not optional. Custom orders may be intermingled. 71

3. Factors tending to a complex control system are: -71

a. Number of ultimate parts in the product.

b. Number of different operations on each part. .1

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c. Extent to which processes arc dependent, that is, processes which cannot be performed until previous operations have; hr , eompleted.

4. Variations in capacity of maeltines_for differeat_chksse.s..otwork—Example: speed of machines varies according to the nature of the material being work on.

5. Degree to which subassembly exists.

6. Occurrence of cuStomer orders containing specific delivery dates.

7. Receipt of orders for many small lots.

8. Factors tending to simplicity of planning and control are:

a. Degree to which repetitive work Occurs, that is, when the same wOrs—UiFfie OVEr and bVelligniiiicin the same way, preferably in cycles.

h. Absence of special dates for spi...vial_items,_ as when everything is made for stock.

c. Fixed capacity of machines or processes.

d. Invariable method of operation of machines or processes.

Absence of discreet parts and assembly.

f. Completely balanced production in which capacity of every process is strictly proportional to flow of work.

NATURE OF MANUFACTURING: The degree to which production control is

developed varies with product(s). It is at a minimum where a single homogeneous

product is treated by a fixed sequence of processes in a continuous flow.

Examples on a vast scale are afforded in factories that manufacture aspirins, Coke

Cola Bottles or underwear.

Flow sheets at these factories exhibit a continuous stream of production in which

many operations are performed, materials added, and by-products or wastes

eliminated, but without break in flow or exceptions in work or processes. Very

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little production control is required in these factories since it has already been

embodied in the product and equipment itself. On the other hand, quality control

is highly developed and long-range planning for raw materials, finished inventory

levels, and markets is extremely important.

In contrast to the continuous industries arc repetitive operations in factories

making many products and/or lots at the same time. Here, a great variety of

materials are used in many ways and for many purposes. There are hundreds of

parts where one or many processes take place on each part on different machines.

To bring these together in proper sequence, at the right time and place, pushes

planning and control functions to the utmost. Sometimes the situation is made

even more difficult when custom orders and manufacturing for stock are

intermingled.

in custom manufacturing less accurate planning is possible than when

manufacturing for stock. In many cases, however, it is possible to forecast

prObable business rather closely, based on past experience and known trade

conditions. While definite scheduling is not possible the raw material situation

can be surveyed in the light of probable demands. Custom orders usually require a

certain time, over and above actual operating t ime, to pass through the factory.

This time lag gives Opportunity for IlLa?1:11?F, scheduling being effected •

irnmediatel on recciptof order. In sonic industries, such as certain textile

industries, orders arc taken on samples made up in advance of the season, each

sample being accepted by many customers in varying quantities. When the bulk of

such orders is in, a consolidation is made and the yardage of each pattern found.

These orders are then treated as being manufactured for stock.

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In mixed stock and custom manufacturing, either stock or custom orders may be •

the main feature. The routine will vary somewhat. If (I) the stock-manufacturing

situation prevails...surplus_machine_capacity aseertained--from-machine load

charts and custom orders are scheduled to absorb it. If (2) the custom manufacture

predominates, the reverse is true; stock manufacturing is litted_into whatever

machine capacity is left over from custom work. ork. Course (1) above may mean slow _—

delivery of custom - orders; course (2) an uncertain output of -stock. A middle

course is generally advisable, stock production being interrupted at times

convenient for custom orders, yet not so often or at such moments as to hinder

efficient output. A certain amount of stock manufacturing to fill gaps in machine

loading is a useful accompaniment of custom work.

MAGNITUDE OF OPERATIONS: Scale of operations has an important

bearing on the nature of the problem. In a small-scale enterprise, control is more •

informal because it is more personal and direct. As businesses increase in size,

new techniques such as this program had to be devised.

The degree to which the performance of any activity must be decentralized

depends upon the scope of operations and the convenience of their location ; In

larger factories, activities associated with warehousing, processing operations, and

custody of finished goods must of necessity be carried on in numerous , locatirms.

The issue then becomes one of determining whether authority and control over

these various operations shall be centralized. When performance must be

decentralized, however, centralized authority has to be buttressed with supporting

forms of organization and procedures for rapid two-way communication, if it is to

provide effective control.

Page 13: Anand 1

The importance of control functions, and procedures will vary from

factory to factory. This variation stems from differences in:

1. The degree of control required. 4. The market served.

2. The control organization. 5. The manufacturing process.

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H. PRODUCTION PLANNING AND CONTROL

There arc certain basic elements or functions in a system of production planning

and control. These functions may be listed and defined as follows:

1. Production Forecasting/Planning:

Coordinates the production department with other departments of the,

business. Considering future sales requirements, it determines what

manufacturing must produce, the quantities involved, when the products

must be available, and the time and quantity requirements for materials,

parts, labor, and facilities.

It presents production data to inventory control, purchasing, personnel,

engineering, and administrative groups in the manner that Most effectively

synchronizes their contribution to production activities.

2. Production Control:

Promotes effective factory operation through its control of activities within

the production department itself. This control may involve routing, the

decision on facilities and sequence for each operation; loading and

scheduling, the relationship between available capacity and current and

future orders; dispatching, the final placement of the order at a work

station with all the materials, trim, and instructions necessary to perform

required operations; and follow-up. Production Control compares progress

with plans, to discover potential delays and to promote action that prevents

or minimizes them.

Page 14: Anand 1

•••■••••••

3. Factory Management. . 6. The product complexity.

Once the general forms of production control requirements are outlined, it

is necessary to develop the detailed procedures through which control can

be achieved. These procedures will involve both data and people.

I. ROUTING

Routing really begins at the determination of the sequence of operations. Methods

of work and machine analysis are preliminary .to it_ Routing can be performed

properly only by people who are thoroughly familiar (usually industrial

en inter g ing) with the character of the work to be done and with the resources

available for doing it. . --

The sequence of operations adopted for any product may have a noticeable effect

on the time and cost of production. Changing the position of a single operation in .

- the sequence often changes the performance of all other operations on the part.

Simply stated this means that there are many factors that may be involved in

routing and most of them come from Industrial Engineering, for example:

1. A study of the product to determine the possible methods of processing

and to select the best method.

2. A study of methods to determine what, if any, special equipment is

necessary to carry them out.

3. An analysis of the capacity of the machines and equipment available for

the process.

4. The establishment of the sequence of operations.

5. A decision as to speeds at which operations shall he performed.

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6. The determination of the S.A.H.s (Standard Allowed Hours) required for

each operagsa. The factors covered include machine setttp_thoachine

operating time, and alkiwances for in-process inspection time and work

handling.

7. The preparation of Operational Breakdowns listing the sequence of

operations. It is often desirable to incorporate on such Operational

Breakdowns detailed information regarding some of the decisions arrived

at under factors (1 to 5).

•8. Grouping Operational Breakdowns (where applicable) into subassemblies

and major assemblies to insure that the components will be started in

process at such times as will insure their being completed simultaneously.

9. The preparation of Specification Sheets to ensure quality Meets

specifications.

Because of the overlap of the first six functions with Industrial Engineering, the

last three will be considered as distinctly the responsibility of the production

control department.

•;• J. PREPARATION OF OPERATIONAL BREAKDOWNS AND

PRODUCTION ORDERS

Operational breakdowns deal...with ditspecificopetations and sequence required

to manufacture the product. In larger factories, operational breakdowns arc

sometimes departmental; where operations in each department are listed

separately. The data usually included on an operational breakdown and production

order is as follows:

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1. Number and other identification of product group.

2. Style number.

3. Number of pieces/dozens to be made.

4. If put through in lots, the number in each lot

5. Operational data including:

a. List of operations on the product.

b. Departments in which the work is to be done.

c. Machine to be used for each operation.

d. Fixed sequence in any of the operations.

6. Standard Allowed Hours (S.A.H.$) per piece, dozen or bundle (as noted on

the operational breakdown sheet).

K. LOADING AND SCHEDULING.

Loading and scheduling are concerned with the flow of work to the factory and

the relationship between the S.A.H.s r utrectly) production orders and available —.

S.A.H.s in the line. The loading and scheduling functions may be set up to give

any desired degree of control over factory operations. However, it is impossible to '

establish a realistic schedule without some knowledge of the S.A.H. load. It is in

this area of loading and scheduling procedures that the widest varieties of

••• computer programs exist. In line with the type and amount of control desired, ••••

loading decisions must be reached on:

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The units and required accuracy of loading data

The use of graphic controls-charts or boards and the form they Si.

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3. The design of control records. Iowa

4. Duplicating requirements.

5. Computer programs to sort and tabulate data.

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6. Filing procedures. 1*

7. The mariner in which communication should be handled.

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L. LOADING AND SCHEDULING PROCEDURES.

Loading and scheduling procedures usually vary widely from company to

company. Because of all these variances, it is beyond the scope of this manual to

discuss all the different types of production control systems and which ones) are

best for each type of manufacturing process requirement. Suffice it to say thatt.his

manual should and can provide the springboard for your system. Keep in mind

what is required in a proper production control system. It is the ability to use facts

to make immediate knowing decisions. The companies who are able to master this

art and science will act far enough in advance to avoid problems thereby

satisfying their customers wants and needs.

While some of these differences in method are merely those of detail, major

differences stem from variations in the kind of manufacturing 'situation and in the

degree of control required. There are two general class of intermittent

manufacturing and two types of continuous production that will he discussed.

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Loading and scheduling procedures from various kinds of manufacturing

situations will illustrate some of these differences. None of these procedures is '

presented as an "ideal" method. No such procedure exists. Each merely represents

one example taken from a broad spectrum of possible choices, and differs

somewhat from all the others.

I. Procedures for Intermittent Manufacture

Loading and scheduling for intermittent manufacture usually include three

different steps or stages:

a. Scheduling within the order or product. It is necessary to determine

relative dates at which each process on each part or lot shall be

started and finished.

b. Scheduling of order in relation to other orders. In custom work this

will depend on the delivery date of the order; in stock

manufacturing, on the relative dates at which each component

should be completed for stock. The sequence in which each order

or lot should be assigned to machines is thus determined.

c. Scheduling to machines or machine loading. With the required

completion date for an order or lot at hand, reference to a schedule

of relative processing dates will show when each process should be

started. Reference to machine load records will then give the

nearest available date for starting. When all processes on all parts

or lots have been assigned to machines, scheduling is complete.

2. Custom Order Manufacture

Wherever future production depends on outside factors (as opposed to

stock production), scheduling often becomes a compromise between the

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time at which a job should be done and the day at which it can be done -

in view of previous commitments. Where work is put through in

comparatively large lots and where the manufacturing program is made up .

months ahead, scheduling in absence of rush orders is a much easier

operation.

When companies manufacture to order they cannot carry finished

inventory. This absence of a stock of finished products means that the

planning and production requirements of an order cannot be undertaken

until that order has been received. The interval involved in filling the order

corresponds to the total planning and manufacturing interval. Moreover, in

this type of work it is usually important that delivery commitments, Once

given, be maintained as closely as possible. All these factors emphasize

the need for fairly tight control of production.

With no inventory to serve as a buffer between the factory and the

customer and under pressure to meet delivery promises closely, schedule

must make many different moves and operations throughout the factory.,

Under these conditions, factories must be kept flexible and must have at

hand sufficiently accurate load data to make such detailed scheduling

possible.

3. Production for Stock

Even though production still moves in lots through separate process

departments, control problems are simplified when pi -eduction for stock

(inventory) becomes possible. This is particularly, true where inventories

of finished products can be built up.

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The same effect occurs on a more limited scale when items can be stocked

in a partially finished state. Finished or finished inventories sharply reduce

the interval between the receipt of an order and its delivery to the

customer. When the production departments operate to replenish

inventories, some of the pressure on them is eased. Although schedules

must stiff be maintained to avoid shortages and unbalanced stocks, short,

delays are not likely to be as serious as they are -when they hold up final

delivery dates. For these reasons, somewhat looser control may be.

perfectly adequate when production for stock is possible.

4. Procedures for Continuous Manufacture

Loading and scheduling procedures, for continuous manufacture arc

simpler than those required for intermittent manufacture. On the Miler

hand, the careful planning required to coordinate production with sales,

inventory levels, purchasing, engineering, and financing operations

becomes extremely important because of the high and continuous rate of

production.

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M. COSTS AND BENEFITS OPPRODUCTION CONTROL.

In evaluating the costs and benefits of a production. control department, it is

necessary to recognize that in every production organization, someone is

performing the planning and control functions. Koepke (Plant Production Control) .

says:

"In any manufacturing enterprise, someone must perform

the various functions of production control; whether it is

done by a group of specialists or whether it is done by the

superintendents, forenwn, and workmen is a matter for

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each organization to decide, alter a consideration of the

costs of each method as related to the results obtained."

Therefore, since production control is being paid for, either as a specialist function

or a hidden cost, it is necessary to decide which method is most efficient. •

Although no standard method for budgeting the cost of a production control group

is available, a simple budgeting method that limits the cost is reported by Moore

(Production Control). He uses a ratio of factory man-hourS to production control

hours on a weekly basis. Acknowledging that the production control workload

varies in proportion to the number of orders it processes rather than the hours of •

production load further imodifies this ratio. Moore points out further that the ..

most important offset to the costs of production control; however, istheieduction

in manufacturing costs. The costs of poor production control can be summed up as

low rates of production, high costs, high inventory of materials in process and

finished stock, poor morale and disappointed customers. MacNiece (Production

Forecasting, Planning, and Control) classifies the benefits and advantages of

production control as exerting influence on five segments of society. He

summarizes these segments and their benefits as follows:

The consumers:

a. Increased productivity.

b. Better values.

c. On time deliveries.

The producers:

a. Adequate wages.

b. Stable employment.

c. Job security.

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'd: Improved working conditions.

c. Increased personal satisfaction.

f. Security of investment.

g. Adequacy of return.

4. The community:

• &anorak and social stability.

5. The nation:

a. Security

b. Prosperity.

Sehleusener and Maddox (Factory Management, vol. 114) report these specific

advantages of production control;

". . Better schedules mean better use of men and machines for

higher efficiency.. .. Set-up costs cut by [proper] scheduling.

In-process inventory minimized by [proper] scheduling."

MacNiece points out that good control procedures can direct the attention of the

sales department to theamasasfactory where the work load is lowest and,

therefore, encourage the sales division to concentrate their efforts on products that

utilize thessa,

A unique advantage of production control is used by the Aeroquip Radio

Manufacturing Company in the training of personnel for supervisory and lower

level executive positions. Beaky (Factory Management, Vol. ill) points out that

the company wants its trainees productive, and since a good control system has a . _

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