Steps in production process , Other Management

Assignment Help:

Steps in production process 

A project whether it is the development of Fast Moving Consumer Goods (FMCG) product, a Parma product or any other product, generally follows the standard model with customisation for specific industry depending on its  nature. It is a statement of the broad direction of the firm, kinds of business and product lines it proposes to take up.  

There are various stages involved in it. They are illustrated in the figure: 

2237_production process.png

Let us now discuss each of these stages in detail. 

1.  Stage 1 - Planning: The objectives mentioned in the strategic plan, act as a guideline for preparation of production plans. The production management prepares plan for quantities of each product group, resources of equipment, labour and material required and the availability of resources. Planning gives the long-range forecast and general directions as to how the company plans to achieve its objectives. It is prepared with the participation from marketing, finance, production and engineering teams. This plan is prepared for a time horizon of a year without many details. 

2.  Stage 2  -  Preparation:  It is of master production schedule. This is a plan for production of individual items at component level. This is prepared based on sales orders, inventories and existing capacity. Manufacturing and purchase lead times are important considerations in preparation of master production schedule. The planning horizon for this plan could extend beyond a financial year as the product mixes do not undergo a drastic change over this period. 

3.  Stage 3 - Preparation of Material Requirement Plan: Here, the actual quantities to be produced are decided with minute details. The role of manufacturing and purchase lead times is an important consideration here. The planning horizon for this activity generally extends from 3 to 18 months. 

4.  Stage 4  -  Implementation: Purchasing and production activity controls the implementation phase of a production  system. Purchasing takes care of all raw material and purchase part supplies to the plant, thus ensuring uninterrupted supply. Production activity controls the manufacturing activity within the plant. This ensures free flow of Work In Progress (WIP) ensuring steady supply of inputs, at assembly stage for uninterrupted despatch of finished goods to customers. The planning horizon in this stage is very short and could be as small as days. 

All these activities integrated with sales and operations planning need  to handle large amount of data involving a number of calculations. Thus, the strategic business plan incorporates marketing, finance and production. Manufacturing should meet the required demand, financing should concur with other functions from financial point of view, and marketing must ensure that its plans are achievable. The result of integrated approach for all these was the evolution of manufacturing planning and control system, which interacts with all the related functions in the system. This integrated planning and control system is called manufacturing resource planning-MRP II  to distinguish it from materials requirement plan.  


Related Discussions:- Steps in production process

Explanation of public relations, Problem Explain the key tools availabl...

Problem Explain the key tools available to carry out the public relations function. Explanation of Public relations Developing Media Relations Launching Media Tours

Environmental assessment and management, Environmental Assessment and Manag...

Environmental Assessment and Management: 1. Using a case study area of your choice, explain and demonstrate different understandings of nature, environment and / or landscape

Explain the type of structural changes, Problem 1 Social systems are po...

Problem 1 Social systems are political as power relations inevitably enter into social relations. (i) In what ways are politics divisive and conflictual in a school organiz

Finding resources - library management system, Finding resources: As s...

Finding resources: As said earlier, supply is another basic factor. Supply means availability of documents for acquisition. Information regarding supply can be collected in th

Rung process, RUNG PROCESS   In a library we classify and catalogue a b...

RUNG PROCESS   In a library we classify and catalogue a book after it is acquired and entered in the Accession Register. After cataloguing the book, the entries will be filed i

What are the main elements of tqm, QUESTION 1 (a) What do you understan...

QUESTION 1 (a) What do you understand by the term 'Enterprise Resource Planning (ERP)? Discuss the evolution of ERP (b) How business process re-engineering can be integrated

Outline the characteristics of tourism services, QUESTION 1 (a) Describ...

QUESTION 1 (a) Describe the role of public sector in the development of tourism Industry? (b) Describe the role of private sector in the development of tourism Industry?

Merger process, T he merger process We learnt how to aligning M and A ...

T he merger process We learnt how to aligning M and A with corporate strategy. Now, let us study how the merger process takes place. The merger process is carried out in two w

Explain the methods of import finance, Question 1 What are the various adv...

Question 1 What are the various advisory services offered by EXIM Bank? Question 2 Identify the significance of Post Shipment Finance. Discuss the post shipment finance sc

Social costs of msw management, Q. Does FCA acquire into account the enviro...

Q. Does FCA acquire into account the environmental, health, and social costs of msw management? Ans. No. FCA do not account for these types of expenses. Noise, for instanc

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd