Wednesday, September 26, 2007

Production Planning - Can we really do it?

Production planning (in a non class A environment) can be chaotic, and subject to the whims of marketing - or more accurately sales. Integrating sales and manufacturing strategies, and we always advocate rationalizing product mix can help a lot. There are some actions manufacturing plants can take to facilitate the manufacturing-sales-marketing integration process:

- Document a sales and production planning procedure, including forecasting, supply/demand balancing, verification of production forecast vs demonstrated plant performance, conformance to production plan, etc.
- Refinement of a sales and production forecasting system.
- Balancing of supply, demand, and inventory levels.
- Planning raw material demand as a result of these reviews.
- Linking current performance to business financials.
- Creation of a longer term logistics requirements plan.
- Creation of a process for resolving conflicts in the supply chain.
- Linking to supplier and customer information systems for planning purposes.
- Fully integrating production planning, and maintenance planning functions.
- Comprehensive training of production planners in planning systems, integrated logistics, and supply chain issues.

Synchronous LLC is committed to maintaining a continuing dialogue on operational excellence best practices. We are no longer providing on-site consultations, and are unable to engage new clients. To pose a question, post a best practice, or otherwise contribute to the dialogue send a note to RobBaldwin@SynchronousLLC.com . To subscribe to our weekly newsletter send your preferred email contact address to Webmaster@SynchronousLLC.com with SUBSCRIBE in the subject line.

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