A Comprehensive Guide to Production Management

Posted on May 24, 2024 in Other subjects

Production Management

Objectives

Primary

  1. Manufacturing cost
  2. Product quality
  3. Manufacturing schedule

Secondary

  1. Machinery and equipment
  2. Materials
  3. Manpower
  4. Manufacturing services

Scope

A) Long-Term Decisions

  1. Product selection and product design
  2. Plant location
  3. Plant layout
  4. Capacity planning

B) Short-Term Decisions

  1. Production planning and control
  2. Inventory control
  3. Quality control
  4. Method study
  5. Maintenance and replacement
  6. Cost reduction and control

Functions

  1. Production planning
  2. Production control
  3. Quality control
  4. Method analysis
  5. Inventory control
  6. Plant layout and material handling
  7. Work measurements
  8. Other functions

Integration of Production Management with Other Departments

  1. Integration with marketing management
  2. Integration with HRM
  3. Integration with finance

Types of Production and Manufacturing Systems

  1. Intermittent Production System
    1. Project production flows
    2. Jobbing production flows
    3. Batch production flow
  2. Continuous Production System
    1. Mass production flows
    2. Process production flows

Criteria for Selection of a Production/Manufacturing System

  1. Nature of raw materials and end products
  2. Quantum of production
  3. Nature of manufacturing operations
  4. Capacity of the plant

Plant Layout

Importance and Objectives

  1. Use of space
  2. Long-term flexibility
  3. Inherent safety
  4. Length of flow
  5. Clarity of flow
  6. Accessibility
  7. Staff comfort

Types of Layout

  1. Process or functional layout (advantages and disadvantages)
  2. Service or stationary layout (advantages and disadvantages)
  3. Product layout

Materials Flow Pattern

  1. Determine the aggregate requirements of finished products
  2. Determine the net requirements of finished products
  3. Developing a master production schedule
  4. Exploding the bill of materials and determining the gross requirement
  5. Determine the net requirements of items
  6. Adjust requirements for scrap allowance
  7. Schedule planned orders
  8. Aggregate requirements and determine order quantities
  9. Write and place the planned orders
  10. Maintain the schedule

Product Classification

  1. Durability and Tangibility
    1. Non-durable goods
    2. Durable goods
    3. Services
  2. Types of Consumer Goods
    1. Convenience goods
    2. Shopping goods
    3. Specialty goods
    4. Unsought goods
  3. Types of Industrial Goods
    1. Materials and parts
    2. Capital items
    3. Supplies and business services

Product Design

Importance of Product Design

Factors Affecting Product Design

  1. Customer requirements and psychological effects
  2. Facility to operator
  3. Functionality
  4. Materials
  5. Work methods and equipment

Maintenance

Types of Maintenance

  • Preventive maintenance
  • Breakdown maintenance

8 Pillars of Total Productive Maintenance (TPM)

  1. Autonomous maintenance (Jishu Hozen)
  2. Kobetsu Kaizen
  3. Planned maintenance
  4. Quality maintenance
  5. Maintenance prevention design and initial equipment control
  6. Education and training
  7. Office Total Productive Maintenance
  8. Safety, hygiene, and environment control

Procedure of TPM

  1. Declaration of top management to introduce TPM
  2. Introductory education and campaign for TPM
  3. Create organizations to promote TPM
  4. Setting basic policy and targets for TPM
  5. Preparation of master plan for implementing TPM
  6. TPM kick-off
  7. Implementation of 8 TPM pillars
  8. Total application of TPM and raising its level

Automation

Phases of Automation

  1. Mechanization and rationalization of labor
  2. Automation of production
  3. Computer-aided manufacturing (CAM)
  4. Automated engineering (CAD-related)
  5. Automated management
  6. Computer-integrated manufacturing (CIM)

Types of Production Systems

  1. Job shop production
  2. Batch production
  3. Continuous flow process
  4. Mass manufacturing of discrete products

Types of Automation Control Systems

  1. Pneumatic control system
  2. Hydraulic control system
  3. Electrical control system

Types of Automation Systems

  1. Fixed automation
  2. Programmable automation
  3. Flexible automation
  4. Integrated automation

Scope of Production Planning and Control

  1. Establishing contact with the purchase department
  2. Establishing contact with the marketing department
  3. Planning the layout of the operations
  4. Fixing production schedules
  5. Introducing control techniques

Functions of Production Planning and Control

  1. Production planning sets objectives
  2. Facing unforeseen conditions
  3. Best utilization of resources
  4. Basis of control

Importance of Production Planning

  1. Enhancing productivity
  2. Facilitating intermittent process industry
  3. Avoidance of rush orders
  4. Avoidance of bottlenecks
  5. Cost reduction
  6. Effective utilization of resources
  7. Coordination
  8. Benefits to workers
  9. Efficient service to customers

Procedure of Production Planning

  1. Routing
  2. Scheduling
  3. Dispatching
  4. Follow-up

Stage Product Development

New Product Strategy Development: Define objectives and align with business strategy. Analyze market needs and trends. Allocate necessary resources.

Idea Generation: Gather ideas from internal and external sources. Use techniques like brainstorming and synectics.

Idea Screening and Evaluation: Evaluate feasibility and market potential. Screen and shortlist the most viable ideas.

Concept Development and Testing: Develop detailed product concepts. Conduct business analysis for financial viability. Create and test prototypes.

Commercialization: Plan and set up production. Develop and implement a marketing strategy. Launch the product and monitor its market performance.