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REDUCTION OF WASTAGES THROUGH
PPC TECHNIQUES
MADE BY:
MUHAMMAD ASIM ASLAM (IN-06)
WHAT IS PPC???
 A production planning and control is concerned with planning and
controlling all aspects of production , including materials, scheduling
machines and people, and coordinating suppliers and customers.
 Production Planning is mainly concerned with the following important issues:
 What production facilities are required?
 How these production facilities should be laid down in the space available for
production?
 How they should be used to produce the desired products at the desired rate of
production?
 Production control is a mechanism to monitor the execution of the plans
OBJECTIVES OF PPC
 Process efficiency
 Develop team spirit
 Effectiveness of work
 Ideas for new method
 Reduce cost
 Reduce time
Reduction of wastages
FUNCTION OF PPC & TECHNIQUES APPLIED ON
FUNCTION
 PLANNING
 ROUTING
 LOADING
 SCHEDULING
 DESPATCHING
 FOLLOW UP
S.No Function Definition Technique.
`1 Planning Mental reaction
before action.
 PESTEL analysis
 Stakeholder analysis
 Competitor analysis
Need and gap analysis
MRP , MRPII, ERP
2 Routing. Selection of path.  Network modeling
i) CPM
ii) PERT
 Route sheet
Loading Assign job to men or
M/S.
 Various Loading chart.
4 Scheduling Program of
operation.
 Gantt chart.
5 Dispatching Release of orders. i) card system
6 Follow up regulates the
progress of
production process.
 Control board
 Line of balance.
PLANNING
 Planning is simply thinking before action.
 Planning is deciding in advance what is to be done in future.
 An organizational set up is created to prepare plans and policies
 Various charts, manuals and production budgets are also prepared. Planning
provides a sound base for control.
 TECHNIQUES USED IN PLANNING FUNCTION:
 PESTEL analysis
 Stakeholder analysis
 Competitor analysis
 Need and gap analysis
PESTEL ANALYSIS
 Identify key trends in the external environment that will have the greatest impact on the
organization and its strategy:
 Political trends
 Economic trends
 Social trends
 Technological trends
 Environmental trends
 Legal trends
STAKEHOLDER ANALYSIS
 Identify key stakeholders - internal and external
 Define information required about each group
 Gather by interview and questionnaire
 Analyze results
 Review their requirements against current objectives
COMPETITOR ANALYSIS
NEED AND GAP ANALYSIS
 A technique that businesses use to determine what steps need to be taken
in order to move from its current state to its desired, future state.
 Need and Gap analysis consists of
1. listing of the present situation ("what is")
2. listing factors needed to achieve future objectives ("what should be")
3. Highlighting the gaps that exist and need to be filled.
Pictures of need and gap analysis
MRP(material Requirement Planning)
 Material requirements planning (MRP) is a production planning, scheduling, and
inventory control system used to manage manufacturing processes.
 Most MRP systems are software-based, while it is possible to conduct MRP by hand
as well.
 MRP systems use four pieces of information to determine what material should be
ordered and when order should be placed
I. master production schedule
II. Bill of materials
III. Production cycle times
IV. Supplier lead times
MRPII(manufacturing resource planning)
 Manufacturing resource planning (MRP II) is defined as a method for the effective planning of all
resources of a manufacturing company
 It integrates planning of all aspects (not just production) of a manufacturing firm
 MRP-II includes functions such as business planning, production
planning and scheduling, capacity requirement planning, job costing, financial
management and forecasting, order processing, shop floor control, time and
attendance, performance measurement, and sales and operations planning
ERP(Enterprise Resource Planning)
 Enterprise resource planning (ERP) is business management software—usually a suite of
integrated applications—that a company can use to collect, store, manage and interpret
data from many business activities, including:
 Product planning
 Manufacturing or service delivery
 Marketing and sales
 Inventory management
 Shipping and payment
SOME SCREEN SHOTS OF ERP SOFTWARE
MRP Vs MRPII Vs ERP
 MRP stands for material requirements planning and deals with bringing in the right
amount of raw material at the right time to support production
 MRPII stands for manufacturing resource planning and builds on MRP by adding
shop floor production planning and tracking tools.
 A third-generation system available at time of publication is called ERP, or
enterprise resource planning, which integrates all departments of the business, not
just manufacturing and purchasing.
ROUTING
 Routing is determining the exact path which will be followed in production.
 It is the selection of the path from where each unit have to pass before reaching the final
stage
 In the words of ALFORD and BEATY:
“Routing is the specification of the flow sequence of
operations and processes to be followed in producing a
particular manufacturing lot.”
 TECHNIQUES USED IN ROUTING FUNCTION:
 Network modeling techniques
 CPM
 PERT
 ROUTE SHEET
 CPM (CRITICAL PATH METHOD)
 A sequence of activities is called a 'path
 The longest-path in the diagram is the critical path and it
assume deterministic time .
 It is 'critical' because all activities on it must be completed in
the designated time, otherwise the whole project will be
delayed.
PERT
 It shows the time taken by each station for manufacturing a product and the total
time required for its completion.
 It lays down their proper sequence, relationships, and duration in the form of
a network.
 Lines connecting the events are called paths and the longest path resulting from
connecting all events is called the critical path. The length (duration) of the critical
path is the duration of the production of any product.
 It uses probabilistic time approach , in which three types of estimated time occur
like,
I. optimistic time
II. Most likely time
III. Probabilistic time
 optimistic time (O): the minimum possible time required to accomplish a task, assuming everything
proceeds better than is normally expected
 pessimistic time (P): the maximum possible time required to accomplish a task, assuming everything goes
wrong.
 most likely time (M): the best estimate of the time required to accomplish a task, assuming everything
proceeds as normal.
 expected time (TE): the best estimate of the time required to accomplish a task, accounting for the fact that
things don't always proceed as normal
TE = (O + 4M + P) ÷ 6
 EXAMPLE OF PERT CHART
ROUTE SHEET
 A document accounting for the output of production and tracing the sequence of operations of a batch of m
anufactured components.
 Theroute sheet is used in serial and especially individual production to show the workers
output, calculate the wages of the workers, and exercise operative super-
vision of the movement of parts in production
 It contains standardized data (such as time standards andcost) and information about the actual movement o
f the manufactured components and about the workers’ output in each operation.
LOADING
 It is important that machine should be loaded according to their capabilities
performance the given and according to the capacity.
 It is concerned with preparation of machine loads and fixation of starting and
completion dates for a particular operation
Techniques used in loading function:
 Loading charts
LOADING CHART:
A chart showing the amount of work still to be performed by a factory producing unit such as
a machine or assembly group.
It shows you how much the machine is rated to lift at specific points of the lift under ideal
conditions
A load chart is the most important chart you must understand before operating a piece of
machinery
SHEDULING
 Scheduling is the determining of time and date when each operation is to be
commenced or completed.
 The time and date of manufacturing each component is fixed in such a way that
assembling for final product is not delayed in any way.
 In the words of KIMBALL
“The determination of the 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”
 Techniques used in scheduling:
 GANTT CHART:
 It is a Type of bar-chart that shows both the scheduled and completed work over a period
 A time-scale is given on the chart's horizontal axis and each activity is shown as a separate horizontal
rectangle (bar) whose length is proportional to the time required (or taken) for the
activity's completion.
DISPATCHING
 Dispatching is concerned with starting the processes & operations of production.
 Dispatching is based on the route sheets & schedule sheets.
 In the words of JOHN A. SHUBIN
“Dispatches put production in effect by releasing and
guiding manufacturing order in the sequence previously
determined by route sheets and schedules”.
 Techniques used in Dispatching:
 Card system
CARD SYSTEM : At the beginning of a work day, the resource's identifier or other information is
handwritten on the card. Each time the resource's status changes, the card is punched in the
time clock and a new status entry is handwritten on the card. The card collects a series of entries
through the work shift.
FOLLOW UP
 It regulates the progress of materials and part through the production process.
 The follow up procedure is used for checking the progress.
 It removing the bottleneck in the production line.
 Techniques used in Follow up
 Control board.
 Line of balance.
 CONTROL BOARD: The hourly production control board, otherwise known as the
hour by hour chart, is used to monitor the progress or output of a process against
plan
 LINE OF BALANCE:
Line Of Balance (LOB) is a management control process for collecting, measuring and
presenting facts relating to time, cost and accomplishment - all measured against a
specific plan.
It shows the process, status, background, timing and phasing the activities.
 To do LOB, the following is needed:
I. A contract schedule, or objective chart;
II. A production plan or lead-time chart for the production process itself;
III. A program status chart on which to plot LOB and the cumulative quantities of units
that have passed through the control points of the assembly/production process.
WHICH WASTAGES REDUCED IN COST??
Carrying cost
Transportation cost
Material handling cost
Loss of customer
Rejection cost
Rework cost
Lost of production cost
Direct labor cost
Indirect labor cost
Inspection cost
WHICH WASTAGES REDUCED IN TIME???
 Machine idle time
 Worker idle time
 Machine down time
 Order delivery on right time
 After rejection rework time
 Setup time
REDUCTION OF WASTAGES THROUGH    PPC TECHNIQUES
REDUCTION OF WASTAGES THROUGH    PPC TECHNIQUES

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REDUCTION OF WASTAGES THROUGH PPC TECHNIQUES

  • 1.
  • 2. REDUCTION OF WASTAGES THROUGH PPC TECHNIQUES MADE BY: MUHAMMAD ASIM ASLAM (IN-06)
  • 3. WHAT IS PPC???  A production planning and control is concerned with planning and controlling all aspects of production , including materials, scheduling machines and people, and coordinating suppliers and customers.
  • 4.  Production Planning is mainly concerned with the following important issues:  What production facilities are required?  How these production facilities should be laid down in the space available for production?  How they should be used to produce the desired products at the desired rate of production?  Production control is a mechanism to monitor the execution of the plans
  • 5. OBJECTIVES OF PPC  Process efficiency  Develop team spirit  Effectiveness of work  Ideas for new method  Reduce cost  Reduce time Reduction of wastages
  • 6. FUNCTION OF PPC & TECHNIQUES APPLIED ON FUNCTION  PLANNING  ROUTING  LOADING  SCHEDULING  DESPATCHING  FOLLOW UP
  • 7. S.No Function Definition Technique. `1 Planning Mental reaction before action.  PESTEL analysis  Stakeholder analysis  Competitor analysis Need and gap analysis MRP , MRPII, ERP 2 Routing. Selection of path.  Network modeling i) CPM ii) PERT  Route sheet Loading Assign job to men or M/S.  Various Loading chart. 4 Scheduling Program of operation.  Gantt chart. 5 Dispatching Release of orders. i) card system 6 Follow up regulates the progress of production process.  Control board  Line of balance.
  • 8. PLANNING  Planning is simply thinking before action.  Planning is deciding in advance what is to be done in future.  An organizational set up is created to prepare plans and policies  Various charts, manuals and production budgets are also prepared. Planning provides a sound base for control.
  • 9.  TECHNIQUES USED IN PLANNING FUNCTION:  PESTEL analysis  Stakeholder analysis  Competitor analysis  Need and gap analysis
  • 10. PESTEL ANALYSIS  Identify key trends in the external environment that will have the greatest impact on the organization and its strategy:  Political trends  Economic trends  Social trends  Technological trends  Environmental trends  Legal trends
  • 11. STAKEHOLDER ANALYSIS  Identify key stakeholders - internal and external  Define information required about each group  Gather by interview and questionnaire  Analyze results  Review their requirements against current objectives
  • 13. NEED AND GAP ANALYSIS  A technique that businesses use to determine what steps need to be taken in order to move from its current state to its desired, future state.  Need and Gap analysis consists of 1. listing of the present situation ("what is") 2. listing factors needed to achieve future objectives ("what should be") 3. Highlighting the gaps that exist and need to be filled.
  • 14. Pictures of need and gap analysis
  • 15. MRP(material Requirement Planning)  Material requirements planning (MRP) is a production planning, scheduling, and inventory control system used to manage manufacturing processes.  Most MRP systems are software-based, while it is possible to conduct MRP by hand as well.  MRP systems use four pieces of information to determine what material should be ordered and when order should be placed I. master production schedule II. Bill of materials III. Production cycle times IV. Supplier lead times
  • 16.
  • 17. MRPII(manufacturing resource planning)  Manufacturing resource planning (MRP II) is defined as a method for the effective planning of all resources of a manufacturing company  It integrates planning of all aspects (not just production) of a manufacturing firm  MRP-II includes functions such as business planning, production planning and scheduling, capacity requirement planning, job costing, financial management and forecasting, order processing, shop floor control, time and attendance, performance measurement, and sales and operations planning
  • 18.
  • 19. ERP(Enterprise Resource Planning)  Enterprise resource planning (ERP) is business management software—usually a suite of integrated applications—that a company can use to collect, store, manage and interpret data from many business activities, including:  Product planning  Manufacturing or service delivery  Marketing and sales  Inventory management  Shipping and payment
  • 20. SOME SCREEN SHOTS OF ERP SOFTWARE
  • 21. MRP Vs MRPII Vs ERP  MRP stands for material requirements planning and deals with bringing in the right amount of raw material at the right time to support production  MRPII stands for manufacturing resource planning and builds on MRP by adding shop floor production planning and tracking tools.  A third-generation system available at time of publication is called ERP, or enterprise resource planning, which integrates all departments of the business, not just manufacturing and purchasing.
  • 22. ROUTING  Routing is determining the exact path which will be followed in production.  It is the selection of the path from where each unit have to pass before reaching the final stage  In the words of ALFORD and BEATY: “Routing is the specification of the flow sequence of operations and processes to be followed in producing a particular manufacturing lot.”  TECHNIQUES USED IN ROUTING FUNCTION:  Network modeling techniques  CPM  PERT  ROUTE SHEET
  • 23.  CPM (CRITICAL PATH METHOD)  A sequence of activities is called a 'path  The longest-path in the diagram is the critical path and it assume deterministic time .  It is 'critical' because all activities on it must be completed in the designated time, otherwise the whole project will be delayed.
  • 24. PERT  It shows the time taken by each station for manufacturing a product and the total time required for its completion.  It lays down their proper sequence, relationships, and duration in the form of a network.  Lines connecting the events are called paths and the longest path resulting from connecting all events is called the critical path. The length (duration) of the critical path is the duration of the production of any product.  It uses probabilistic time approach , in which three types of estimated time occur like, I. optimistic time II. Most likely time III. Probabilistic time
  • 25.  optimistic time (O): the minimum possible time required to accomplish a task, assuming everything proceeds better than is normally expected  pessimistic time (P): the maximum possible time required to accomplish a task, assuming everything goes wrong.  most likely time (M): the best estimate of the time required to accomplish a task, assuming everything proceeds as normal.  expected time (TE): the best estimate of the time required to accomplish a task, accounting for the fact that things don't always proceed as normal TE = (O + 4M + P) ÷ 6
  • 26.  EXAMPLE OF PERT CHART
  • 27. ROUTE SHEET  A document accounting for the output of production and tracing the sequence of operations of a batch of m anufactured components.  Theroute sheet is used in serial and especially individual production to show the workers output, calculate the wages of the workers, and exercise operative super- vision of the movement of parts in production  It contains standardized data (such as time standards andcost) and information about the actual movement o f the manufactured components and about the workers’ output in each operation.
  • 28.
  • 29. LOADING  It is important that machine should be loaded according to their capabilities performance the given and according to the capacity.  It is concerned with preparation of machine loads and fixation of starting and completion dates for a particular operation
  • 30. Techniques used in loading function:  Loading charts LOADING CHART: A chart showing the amount of work still to be performed by a factory producing unit such as a machine or assembly group. It shows you how much the machine is rated to lift at specific points of the lift under ideal conditions A load chart is the most important chart you must understand before operating a piece of machinery
  • 31. SHEDULING  Scheduling is the determining of time and date when each operation is to be commenced or completed.  The time and date of manufacturing each component is fixed in such a way that assembling for final product is not delayed in any way.  In the words of KIMBALL “The determination of the 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”
  • 32.  Techniques used in scheduling:  GANTT CHART:  It is a Type of bar-chart that shows both the scheduled and completed work over a period  A time-scale is given on the chart's horizontal axis and each activity is shown as a separate horizontal rectangle (bar) whose length is proportional to the time required (or taken) for the activity's completion.
  • 33. DISPATCHING  Dispatching is concerned with starting the processes & operations of production.  Dispatching is based on the route sheets & schedule sheets.  In the words of JOHN A. SHUBIN “Dispatches put production in effect by releasing and guiding manufacturing order in the sequence previously determined by route sheets and schedules”.
  • 34.  Techniques used in Dispatching:  Card system CARD SYSTEM : At the beginning of a work day, the resource's identifier or other information is handwritten on the card. Each time the resource's status changes, the card is punched in the time clock and a new status entry is handwritten on the card. The card collects a series of entries through the work shift.
  • 35. FOLLOW UP  It regulates the progress of materials and part through the production process.  The follow up procedure is used for checking the progress.  It removing the bottleneck in the production line.  Techniques used in Follow up  Control board.  Line of balance.
  • 36.  CONTROL BOARD: The hourly production control board, otherwise known as the hour by hour chart, is used to monitor the progress or output of a process against plan
  • 37.  LINE OF BALANCE: Line Of Balance (LOB) is a management control process for collecting, measuring and presenting facts relating to time, cost and accomplishment - all measured against a specific plan. It shows the process, status, background, timing and phasing the activities.  To do LOB, the following is needed: I. A contract schedule, or objective chart; II. A production plan or lead-time chart for the production process itself; III. A program status chart on which to plot LOB and the cumulative quantities of units that have passed through the control points of the assembly/production process.
  • 38.
  • 39. WHICH WASTAGES REDUCED IN COST?? Carrying cost Transportation cost Material handling cost Loss of customer Rejection cost Rework cost Lost of production cost Direct labor cost Indirect labor cost Inspection cost
  • 40. WHICH WASTAGES REDUCED IN TIME???  Machine idle time  Worker idle time  Machine down time  Order delivery on right time  After rejection rework time  Setup time