Planning and management of the company's production process is a set of measures that is necessary for the formulation of technical tasks and goals facing the operational group of managers and engineers responsible for the technical transformation of the production processes of an industrial enterprise.

When planning production processes, it is important to take into account the size of the company, its specialization and the range of products. A mistake in this area can cause serious costs. Therefore, it is necessary to carefully carry out calculations, taking into account all the features of an industrial enterprise.

Production Planning Strategies

The development of a production strategy is one of the organizational tasks of an industrial enterprise. Part of the production strategy are decisions that affect the amount of resources involved, the number of employees involved in production processes.

The production planning strategy contains the following information:

  • Margin Profit
  • Quality Control Strategy
  • Number of Resources Used
  • Analysis of Industrial Premises
  • Unit Cost of Goods
  • Regulation of Reporting
  • Staff Awareness
  • Production Facilities

Production Planning at the Enterprise

Production planning at the enterprise is often carried out intuitively, without a clear plan of action. But such an approach to planning production processes does not allow to rationalize production as much as possible.

Competent production planning will solve the following problems:

  • Expanding Customer Loyalty
  • The Growth of the Quality of Manufactured Products
  • Reduction of Production Costs
  • Formation of a Resource Reserve
  • Reducing the Waste of Resources

Planning of production processes in industrial enterprises is a necessary part of planning the company's activities, especially large organizations.

Also, an equally important part for the successful functioning of the company is the automation and optimization of routine processes in the production of goods in order to reduce the costs of production processes and reinvest funds in the development of production capacities of an industrial company.

Optimization and modernization planning is usually necessary for the effective and dynamic development of the company. The development of industrial enterprises is due to technological innovations and optimization of the company's production processes.

Production Planning Objectives

The main purpose of production planning is: making a forecast of the development and improvement of technical and production processes of an industrial enterprise. With the help of production planning, the goals that the company must achieve in a specific period of time are determined. Thus, approaches are formed by which the goals of an industrial enterprise are achieved.

Production planning, as a rule, is significantly complicated by the conditions of a market economy. With planned production planning, there is no centralized management of the company's activities, so responsible managers have to independently determine the prospects of competition.

The management of small companies often plans production superficially, without resorting to the use of planning systems. In this case, it is necessary to understand that the larger the production company, the more important it is to have competent and experienced production planning in a clear and structured form. Without structural production planning, it is impossible to achieve a well-coordinated functioning of production.

Components of Planning

The production activity consists of the following components:

  • Tactics
  • Strategy
  • Program
  • Operationalization

When developing production planning, it is necessary to rely on two key concepts: priorities and productivity. The first means the assortment, the volume of the product and the timing of its release. These values are set based on the market situation. The second means the number of products made per unit of time, here the technical abilities and indicators of the production capacity of an industrial enterprise are important.

Planning Principles

When planning the modernization of production, it is necessary to act purposefully and consistently. Firstly, the production plan of the enterprise must remain relevant and continuous at all stages of production.

Secondly, it is necessary to ensure the unity of quality standards in production. This means that the production planning should take into account the norms and quality standards of the EAC and the norms and quality standards of GOST.

In addition, production processes at enterprises should be economical and reduce production costs. The following requirements for optimizing the production processes of industrial enterprises: this is flexibility and planning.

Production Planning Process

The administrative activity of industrial enterprises consists of many parts, below we will consider all the stages of production planning in turn. The main problem that specialists need to solve is the need for the most rational use of technical capacities and resources of the enterprise.

If the capacity utilization exceeds the sales volume, then the industrial enterprise is underutilized. This entails an increase in production costs. Production costs lead to a drop in company profits. If the company's revenues fall, then there is a problem of attracting investment capital to modernize production facilities.

Capacity Utilization Analysis

First of all, it makes sense to analyze the market to find out which products are in high demand among potential consumers. Next, it is necessary to make a commercial forecast and find out how many products of a particular type can be sold in the relevant markets.

Based on the above data, it becomes possible to plan and discuss whether there are enough technical capacities and resources at the disposal of the enterprise to modernize the company's production processes.

If the technical capacities and other resources of an industrial enterprise are insufficient, then an appropriate solution in such a situation would be to purchase additional units of production equipment.

Production Planning Documentation

Production processes should be planned and documented in detail. To do this, it is necessary to conduct an in-depth analysis of the supply and provision of the enterprise with machines and employees. When analyzing an enterprise, emphasis is placed on the most effective and more commercially profitable options.

Aspects of enterprise analysis:

  • Automation Level
  • Using Technical Solutions
  • System Performance

When evaluating certain aspects of industrial production, it is important to take into account the specifics of the functioning of the enterprise. If the company produces products for the mass market, it is recommended to use conveyor methods.

Conveyor methods ensure minimal production costs. This approach is observed in most industrial enterprises that optimize and modernize production processes. To fulfill special orders, conveyor methods are usually ineffective, for special orders it is necessary to resort to alternative solutions to technical problems.

Types of Planning and Organization

There are several classifications of types of planning and organization of production processes. The types of planning and organization are primarily focused on the goals of the enterprise and the timing of the optimization of production processes.

Types of Planning:

  • Long-Term Planning
  • Operational Planning
  • Current Planning

Long-term planning differs from other types of planning in that the company's employees responsible for production optimization planning take into account the full period of product production when planning upgrades.

Operational planning is usually characterized by the preparation of a production optimization program plan for up to one year. Specific tasks are distributed by quarters. Current planning is applied when it is necessary to produce a certain amount of goods within the prescribed time frame.

Next, it is necessary to consider all production prospects, goals and objectives of production planning, which will open up new opportunities for the development of industrial production for the organization.

Planning Strategy and Tactics

The strategy and tactics of production planning at the enterprise are subject to analysis in order to study the structure of production processes in more detail. As a rule, these are two types of planning that serve specific purposes in process planning.

The first type of planning is implemented in accordance with the chosen direction of the enterprise, the volume of output, the number of labor resources and plans for the sale of goods. The second type of production planning is technical planning. It is used when it is necessary to accurately calculate the economic efficiency of the production activity of the enterprise.

Planning Sequence

Production planning consists of several stages and is carried out sequentially. At each stage of production planning, specialists solve a certain set of tasks and achieve their goals.

Preparation – The first stage of production planning is the collection of necessary data on the production processes of the enterprise.

Preparation – Preparation of a production plan is a detailed description and documentation of the production planning process.

Coordination – Coordination of the production plan is necessary to allocate time at each stage of the production process.

Monitoring – Is the final stage of planning, the essence of production control is the clear fulfillment of the tasks set.

Planning Prerequisites

Production planning is an important process, production planning is thorough and responsible regardless of the scale of production.

Factors that determine the need for planning:

  • Product Range
  • Introduction of New Products
  • Elimination of Production Problems
  • Optimization of Production Equipment
  • Compliance with Legal Requirements

Our Services

We offer the following services to our clients:

  • Consulting and Management of Production Processes
  • Optimization of Production Processes of Industrial Enterprises
  • Implementation of Technical Solutions for the Modernization of Industrial Production

For more information regarding production planning, please contact us by phone or email.

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