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Operation Planning & Control (Nature of operations planning &…
Operation Planning & Control
Nature of operations planning & control
Focuses on all the activities required to put the operations process into action efficiently on a continuous basis so that the products can be manufactured or services provided to meet the needs of customers/clients.
To reconcile the volume & timing dimensions with each other, three different but integrated activities are performed: the loading, sequencing of tasks & the scheduling of tasks
Aimed at reconciling the provision ability of the operations facility with the demand for specific products & services and this occurs in three dimensions
Volume (the quantity of products or service)
Timing (when the products or services have to be manufactured or provided)
Quality (whether products or services consistently conform to clients/customers’ expectations
In the activation of the operations process, the operations manager is responsible for ensuring that the operations management objectives of quality, cost, lead time, adaptability, variability of service/product are pursued & achieved
The loading of tasks refers to the volume/quantity of work allocated to a particular work centre.
The scheduling of tasks refers to the use of a detailed roster that indicates when specific tasks should start and when they should be completed-Gantt charts
Sequencing of tasks refers to the sequence in which tasks are performed.
Capacity planning & control:
Finding a suitable balance between available capacity and the expected demand
Defining capacity- Capacity is the maximum level of value added activity over a period of time that the process can achieve under normal operating circumstances.
The nature of capacity planning & control:
Step 2-Alternative capacity plans must be identified.
Step 3-The most suitable approach to capacity planning and control must be chosen
Step 1-The total demand and required capacity must be determined.
The quantitative data on the expected demand & the required capacity to satisfy this expected demand must be obtained by applying three steps:
Techniques & methods used during capacity planning and control:
Cumulative representation of demand and capacity-is a method that can be used to evaluate the effect of different capacity plans graphically.
The moving average forecasting technique-is based on the availability of actual demand data over preceding periods. This technique can be used to forecast demand for the following period.