2/17/2020

PRODUCTION PLANNING
AND CONTROL

Outline

 Production Planning and Control: Benefit

and Functions
 Scheduling : High volume, intermediate
volume and low volume
 Gantt chart : Load chart and schedule chart
 Forward and Backward Scheduling
 Input/ Output control

1
 2/17/2020

Learning Objectives
When you complete this chapter you should be
able to:
1. Understand the important and function in
production planning and control
2. Apply the assignment method for loading jobs
using Hungarian method
3. Describe and apply each of the priority
Sequencing Rules- FCFS, SPT, EDD, LPT
4. Draw Gantt loading and scheduling charts –
Johnson’s Rule

BENEFITS OF PRODUCTION PLANNING

AND CONTROL
1. Optimum Utilisation of Capacity:
- No idle and no undue queuing up of tasks via proper allocation of tasks to
the production facilities. No order goes unattended and no machine
remains idle.

2. Inventory control:
- resort to just- in- time (JIT) systems and thereby reduce the overall
inventory.

3. Reduce production time:

- reduce the cycle time and increase the turnover via proper scheduling

4. Ensure quality:
- provide the adherence to the quality standards so that quality of output
is ensured.

2
 2/17/2020

PRODUCTION PLANNING AND CONTROL

PROCESS

PRODUCTION PLANNING
- work out the quantity of material manpower, machine and money
requires for producing predetermined level of output in given period
of time.
Routing
- the operations, their path and sequence are established
- main aim of routing is to determine the best and cheapest sequence of
operations and to ensure that this sequence is strictly followed

Scheduling
- working out of time that should be required to perform each
operation and also the time necessary to perform the entire series as
routed, making allowances for all factors concerned. It mainly
concerns with time element and priorities of a job.
Loading
execution of the schedule plan as per the route chalked out it
includes the assignment of the work to the operators at their machines
or work places. Gantt Charts are most commonly used in small
industries in order to determine the existing load and also to foresee
how fast a job can be done.
6

3
 2/17/2020

PRODUCTION CONTROL
- planning production in advance of operations, establishing the extract
route of each individual item part or assembly, setting, starting and
finishing for each important item, assembly or the finishing production and
releasing the necessary orders as well as initiating the necessary follow-up
to have the smooth function of the enterprise.

Dispatching
- involves issue of production orders for starting the operations.
Necessary authority and conformation is given for:
1. Movement of materials to different workstations.
2. Movement of tools and fixtures necessary for each operation.
3. Beginning of work on each operation.
4. Recording of time and cost involved in each operation.
5. Movement of work from one operation to another in accordance
with the route sheet.
6. Inspecting or supervision of work

Dispatching is an important step as it translates

production plans into production.
7

Follow up
- ensuring that the productive operations are taking place in
accordance with the plans.
- It spots delays or deviations from the production plans.

Inspection
- ensure the quality of goods.

Corrective action
- involve any of those activities of adjusting the route, rescheduling of
work changing the workloads, repairs and maintenance of machinery
or equipment, control over inventories of the cause of deviation is the
poor performance of the employees

4
 2/17/2020

SCHEDULING

• Establishing the timing of the use of

equipment, facilities and human activities in
an organization

• Effective scheduling can yield

Cost savings
Increases in productivity

Scheduling Context

Scheduling is constrained by multiple

system design decisions
– System capacity
– Product and/or service design
– Equipment selection
– Worker selection and training
– Aggregate planning and master scheduling

10

5
 2/17/2020

Scheduling Approaches
 Forward scheduling
 Scheduling ahead from some point in time.
 Used when the question is:
 “How long will it take to complete this job?

 Backward scheduling
 Scheduling backwards from some due date
 Used when the question is:
 “When is the latest this job can be started and still
be completed on time?”

11

Forward Scheduling

“How long will it take to complete

this job?

12

6
 2/17/2020

Backward scheduling
“When is the latest this job can be
started and still be completed on time?”

13

Managing Work Flows

• Input/Output (I/O) control
– Managing work flow and queues at work
centers
• Without I/O control:
– If demand exceeds processing capacity, a work center
overload is created
– If work arrives more slowly than a work center can handle,
work center underutilization results
• The goal is to strike a balance between input and
output rates in order to minimize queues and
maximize utilization

14

7
 2/17/2020

Input-Output Control Example

Work Center DNC Milling (in standard hours)

Week Ending 6/6 6/13 6/20 6/27 7/4 7/11

Planned Input 280 280 280 280 280
Actual Input 270 250 280 285 280
Cumulative –10 –40 –40 –35
Deviation

Planned Output 320 320 320 320

Actual Output 270 270 270 270
Cumulative –50 –100 –150 –200
Deviation

Cumulative 0 –20 –10 +5

Change in Backlog

Figure 15.2

15

SCHEDULING

• Scheduling: To optimize the use of equipment,

facilities and human activities so that the
production objectives are met
• Effective scheduling can yield
– Min Completion Time
– Max Utilization
– Min WIP (Work In Progress)
– Min Customer Waiting Time

16

8
 2/17/2020

SCHEDULING
• Processed Oriented
• Loading Jobs & Sequencing Jobs

• Loading Job: Assigning of jobs to work or

processing centers.
• Need to know Assignment Method or
Hungarian Method.

17

Assignment Method/Hungarian
Method

• Assigning jobs to machine, people to projects

• Use table. Must be in matrix 3x3, 4x4
• If no. of row is not equal to no. of column,
need to add dummy

18

9
 2/17/2020

Example of Assignment
Method/Hungarian Method
workers A B C D
Job

1 8 6 2 4
2 6 7 11 10
3 3 5 7 6
4 5 10 12 9

Find the smallest in row & minus to all in the row

19

workers A B C D
Job
1
2
3
4

Find the smallest in column & minus all in the column

20

10
 2/17/2020

workers A B C D
Job
1
2
3
4

Cross out all zeros in minimum number of lines (less than 4 lines)

Find smallest number from uncover numbers

At intersection add the smallest, +1 & -1 at the uncover numbers

21

workers A B C D
Job
1
2
3
4

Cross out all zeros in minimum number of lines

minimum number of lines = row, ok STOP!!
We start assign Job & Workers

22

11
 2/17/2020

workers A B C D
Find a row with
Job one zero
1 7 3 0 0
Assign Cost (RM)
2 1 0 5 2 2-B 7
4-A 5
3 0 0 3 0
4 0 3 6 1

A B C D
1 8 6 2 4
Original
2 6 7 11 10
3 3 5 7 6
4 5 10 12 9
23

Example for dummy

Check matrix balance or not

24

12
 2/17/2020

Tutorial 1

workers Lathe Mill Drill Grind

Job
1 13 17 15 11
2 10 9 14 8
3 16 13 10 12
4 0 0 0 0

Find the smallest in row & minus to all in the row

25

Tutorial 1

workers Lathe Mill Drill Grind

Job
1
2
3
4

Find the smallest in column & minus to all in the column

26

13
 2/17/2020

Tutorial 1
workers Lathe Mill Drill Grind
Job
1
2
3
4

Cross out all zeros in minimum number of lines (less than 4 lines)

Find smallest number from uncover numbers

At intersection add the smallest, +1 & -1 at the uncover numbers

27

Tutorial 1
workers Lathe Mill Drill Grind
Job
1
2
3
4

Cross out all zeros in minimum number of lines

minimum number of lines = row, ok STOP!!

We start to assign Job & Worker

28

14
 2/17/2020

workers Lathe Mill Drill Grind

Job

1
2 Assign Cost (RM)
Cost (RM)
1-Grind 11
3 3-Drill 10

Lathe Mill Drill Grind

1 13 17 15 11
Original
2 10 9 14 8
3 16 13 10 12

29

Tutorial 2

30

15
 2/17/2020

Tutorial 3
A B C D
Charlie 13 16 11 18
Gerald 13 15 10 12
Johnny 15 11 20 15
Rick 17 17 12 22

31

SEQUENCING OR
DISPATCHING

• Sequencing: Determine the

order in which jobs at a
work center will be
processed.

• Workstation: An area
where one person works,
usually with special
equipment, on a
specialized job.

32

16
 2/17/2020

SEQUENCING JOBS

• Specifies the order in which jobs should be

performed at work centers

• Priority rules are used to dispatch or sequence

jobs
– FCFS: First come, first served
– SPT: Shortest processing time
– EDD: Earliest due date
– LPT: Longest processing time

33

Total flow time

Average completion time =
Number of jobs

Total job work time

Utilization =
Total flow time

Average = Total flow time

number of jobs
Total job work time
in the system

Total late days

Average job lateness =
Number of jobs

34

17
 2/17/2020

PERFORMANCE MEASURES
Job Flow Time :
length of time a job is at particular workstation/work center

Job Lateness:
length of time a job completion date is expected to exceed the date
the job was due

Makespan/Thorughput:
total time needed to complete a group of jobs from the beginning of
the first job to the completion of the last job

Average Number of Jobs:

job that are in a shop are considered to be work in process inventory

Average number of Sum of total flow time

jobs = Total job work time (makespan)

35

SEQUENCING EXAMPLE

Apply the four popular sequencing rules

to these five jobs
Job Work Job Due
(Processing) Time Date
Job (Days) (Days)
A 6 8
B 2 6
C 8 18
D 3 15
E 9 23

36

18
 2/17/2020

Sequencing Example
FCFS: Sequence A-B-C-D-E
Job Work
Job (Processing) Flow Job Due Job
Sequence Time Time Date Lateness
=
=
=

Σ Σ Σ

37

Sequencing Example

FCFS: Sequence A-B-C-D-E

Sum of total flow time
Average completion time = Number of jobs =

Total job work time

Utilization= =
Sum of total flow time

Total late days

Average job lateness =Number of jobs =

38

19
 2/17/2020

Sequencing Example

SPT: Sequence
Job Work
Job (Processing) Flow Job Due Job
Sequence Time Time Date Lateness

Σ Σ Σ

39

Sequencing Example

SPT: Sequence B-D-A-C-E

Sum of total flow time
Average completion time = Number of jobs =

Total job work time

Utilization = Sum of total flow time =

Total late days

Average job lateness = Number of jobs =

40

20
 2/17/2020

Sequencing Example

EDD: Sequence
Job Work
Job (Processing) Flow Job Due Job
Sequence Time Time Date Lateness

Σ Σ Σ

41

Sequencing Example
EDD: Sequence B-A-D-C-E

Sum of total flow time

Average completion time = =
Number of jobs

Total job work time

Utilization =Sum of total flow time =

Total late days

Average job lateness = =
Number of jobs

42

21
 2/17/2020

Compare All the Sequencing Rule

Average Utilization (%) Average Job
Completion Lateness
(days) (days)
FCFS 15.4 36.4 2.2
SPT 13 43.1 1.8
EDD 13.6 41.2 1.2

For LOWEST average completion time,

For LOWEST average lateness,

43

Tutorial 4
Jack's Refrigeration Repair is under contract to repair, recondition, and/or
refurbish commercial and industrial icemakers from restaurants, seafood
processors, and similar organizations. Jack currently has five jobs to be
scheduled, shown in the order in which they arrived.

(a) Complete the following table. (Show your supporting calculations below).
(b) Which dispatching rule has the best score for flow time?
(c) Which dispatching rule has the best score for lateness?
(d) Which dispatching rule has the best score for utilization?
Processing Time
Job (hours) Due (hours)
V 20 50
W 10 35
X 50 90
Y 15 35
Z 55 75

44

22
 2/17/2020

SEQUENCING JOBS IN
WORK CENTERS
 Johnson’s Rule N ≥ 2 (N jobs;
more than 2 jobs)

 Min processing time for

sequencing a group of jobs
through 2 work centers while
min total idle time in the work
centers

45

Steps in Applying the Rules

1. All jobs to be listed, time for each requires on a
machine is to be shown
2. Select the job with the shortest activity time
a. If the shortest time lies with first machine, the job is
scheduled first.
b. If the shortest time lies with second machine, the
job is schedule last.
c. If ties, random, first or last
3. Once job is scheduled, eliminate it
4. Apply step 2 & 3, working toward center of
sequence

46

23
 2/17/2020

Limitations
• Rules do not look beyond due dates. May be
two work centers at the same due date.
Which one is important
• Rules do not look upstream or downstream.
Idle resources & bottleneck resources may be
not recognized.

47

Johnson’s Rule Example

Work Center 1 Work Center 2
Job (Drill Press) (Lathe)
A 5 2
B 3 6
C 8 4
D 10 7
E 7 12

48

24
 2/17/2020

Johnson’s Rule Example

Work Center 1
(Drill Press) Work Center 2
Job hours (Lathe) hours
A 5 2
B 3 6
C 8 4
D 10 7
E 7 12

49

WC1 WC2

Job Time In Time Out Time In Time Out

50

25
 2/17/2020

• Idle Time M1 =
• Idle Time M2 =
• Job Waiting Time =

51

Draw Gantt Chart

52

26
 2/17/2020

FINITE CAPACITY SCHEDULING

Interactive Finite Capacity Scheduling
MRP Data • Routing files
• Master • Work center
schedule information
• BOM
• Inventory
Tooling
Priority and other
rules resources

• Expert
systems Setups and
run time
• Simulation
models

Figure 15.5

53

54

27
 2/17/2020

BOTTLENECKS
 Bottleneck work centers are constraints
that limit output
 Common occurrence due to frequent changes

 Management techniques include:

 Increasing the capacity of the constraint
 Cross-trained employees and maintenance
 Alternative routings
 Moving inspection and test
 Scheduling throughput to match bottleneck
capacity

55

SERVICE SYSTEMS DIFFER FROM

MANUFACTURING
Manufacturing Services
Schedules machines Schedule staff
and materials
Inventories used to Seldom maintain inventories
smooth demand
Machine-intensive and demand Labor-intensive and demand
may be smooth may be variable
Scheduling may be bound by Legal issues may constrain
union contracts flexible scheduling
Few social or behavioral issues Social and behavioral issues
may be quite important

56

28
 2/17/2020

Tutorial 5
Use Johnson’s rule to obtain the optimum sequence for
processing the jobs shown through work centers A and
B.
Job time (hour)
Job Work center A Work center B
a 2.5 4.2
b 3.8 1.5
c 2.2 3.0
d 5.8 4.0
e 4.5 2.0

i. Calculate the idle time for each work station.

ii. Determine the jobs waiting time.
iii. Draw Gantt Chart

57

Tutorial 6

58

29
 2/17/2020

Tutorial 7

59

Tutorial 8

60

30
 2/17/2020

Tutorial 9

Body Work Paint (hr)

(hr)
A 8 7
B 9 14
C 7 9
D 3 4
E 12 5

61

Tutorial 10

62

31