10: DELIVER: Nature of planning and control Flashcards
What is planning and nature?
It is trying to create the harmony between market requires (demand) and what operation resources can deliver (supply).
What is planning
concerns what is intended to happen at some point in the future, however it is no guarantee that will eventually happen (supplier doesnt deliver on time)
What is control
It is the process of coping with all types of changes, where plans need to be modified in a short period of time (finding a new supplier)
How do supply and demand affect planning and control? +2 types of demand
the more uncertainty there is in demand, the more difficult it is to make the planning.
Dependent demand: demand is quite predictable because it is dependent on some known factor
Independent demand: less predictable because it is dependent on market or customer behavior
3 ways to respond to market
1: resource-to-order: resources are only ordered and produced later when there is a request for it by a specific customer
2: create-to-order: operations that produce a service or product only when there is a specific demand for it by customers
3: make-to-stock: they produce even there is no demand for it yet (cinema programmes)
P:D ratio
it shows a contrast between throughput time to produce a service or product (P) and total time between customers requiring a product and receiving it
What are the planning and control activities
loading (how much to do), sequencing (in what order to do it), scheduling(when to do things), monitoring and control(are activities going to plan?)
Elaborate on loading
2 types:
infinite: no set limit
finite: like at airline companies, there’s a weight limit for luggage, so: there is a set limit!
Elaborate on sequencing
1: FIFO
2: Last in first out LIFO: used for practical reasons
3: Longest operation time LOT: operations sequence longest jobs first
4: Shortest operation time SOT
5: Due date
6: judging rule: according to 5 performance objectives, sequencing can be judged\
7: customer priority: complaining guests go first…
Elaborate on scheduling
Forward: starting work asap, when it arrives
backward: starting work at last moment to prevent them being late
Gantt chart: you can track what should be happening and what is happening actually
rostering: staff schedules
Elaborate on monitoring and control
Pull control: materials only move on to next station when it is required by next station
Push control: as soon as materials have been processed, they move on to next station
what is TOC
Theory of constraints (limitations): an idea which helps to decide exactly where a problem should occur in process