1、Master Planning of Resources,Session 1 The Business Planning Process,1-2,Course Objectives,To explain the principles and processes of master planning of resources To describe the techniques and methods of demand management, sales and operations planning, and master scheduling To examine the developm
2、ent of operations plans in different business environments To explain the process for developing, validating, and evaluating performance at all levels of master planning of resources,1-3,Master Planning of Resources,Session 1: The Business Planning Process Session 2: Forecasting Demand Session 3: De
3、mand Management and Customer Service Session 4: Distribution Planning Session 5: The Sales and Operations Planning Process Session 6: The Master Scheduling Process Session 7: Managing the Master Scheduling Process Session 8: Measuring Performance and Validating the Plan,1-4,Session 1 Objectives,Iden
4、tify and describe the elements of master planning of resources Identify and describe the levels of the planning hierarchy Describe and distinguish the roles in the planning process that product volume and product mix play Describe the elements of business planning Identify and describe the inputs to
5、 a business plan Identify and describe several manufacturing environments,1-5,Master Planning of Resources,Demand Management Forecasting Distribution planning Order servicing Sales and Operations Planning Integrates the plans of the business Sales Marketing Utilizes resource planning Master Scheduli
6、ng Includes the development of Master production schedule (MPS) Final Assembly Schedule (FAS) Utilizes rough-cut capacity planning (RCCP),A grouping of business processes that includes,Development Manufacturing,Sourcing Financial,1-6,Master Planning of Resources Model,Demand,Supply,SALES AND OPERATI
7、ONS PLANNING,MASTER SCHEDULING,PRODUCTION PLAN,MASTER PRODUCTION SCHEDULE,Detailed Scheduling and Planning,Execution and Control of Operations,Priority Information,Feedback,FORECASTING & DEMAND MANAGEMENT,CAPACITY MANAGEMENT,Strategic Planning,Business Planning,1-7,Demand Management,Forecasting,Dist
8、ribution planning,Order servicing,1-8,Sales and Operations Planning,Business Plan,Sales and Operations Planning,Production Plan,Resource Planning,1-9,Master Scheduling,Production Plan,Master Scheduling,Master Production Schedule,Rough-Cut Capacity Planning,1-10,The Balancing Act,Demand,Supply,Demand
9、 Forecasts,Actual Orders,Production Orders,Purchase Orders,1-11,Product Volume and Product Mix,Volume Establishes the big picture How much? Rates (selling/production) Product families Planned in sales and operations planning,Mix The details Which ones? Customer orders Individual products Planned in
10、master scheduling,1-12,The Planning Hierarchy,Strategic Planning,Planning Detail,Planning Horizon,Less,Near Term,More,Long Term,Business Planning,Sales and Operations Planning,Master Scheduling,1-13,Long-Range Strategic PlanningSales and Operations PlanningBudgeting,Planning Horizons,1,2,3,4,5,1,2,1
11、,2,1,Source: Adapted from Ling, Richard C., and Walter E. Goddard. Orchestrating SuccessImprove Control of the Business with Sales and Operations Planning. John Wiley & Sons, Inc. (1988),1,Legend:= Time period in years,BUSS I N ESS PLANN I NG,1-14,Source: APICS Dictionary, Ninth ed. 1998,Business Pl
12、an,A statement of Long-range strategy Revenue, cost, and profit objectives usually accompanied by Budgets Projected balance sheet Cash flow projections,1-15,Business Plan (cont.),Common features of the business plan include: The nature of the firm Locations and facilities Organization and people Lev
13、els of processing technology The type and nature of capital resources required Primary stakeholders interests,1-16,Business Plan (cont.),The Market Location Growth rates Changing needs of customers Regional economic considerations and business conditions as they affect customer needs The Business En
14、vironment Major competitors Projections of business growth Availability of financial resources Emerging technologies,1-17,Key Business Goals,Growth Profitability Return on Investment Market Share Customer Service Reputation Company Value,1-18,Business Stakeholders,The Community The Management Team T
15、he Owners and Shareholders The Members of Associations The Employees The Customers The Suppliers Others,1-19,Benchmarking,Strategies Capabilities Processes Costs Logistics Systems Others,1-20,Business Plan Strategic Data Sources,Environmental scanningMarketplace needsCompany capabilities Financial t
16、argets Strategic goals,Demographics, government and business regulations, economic conditions, competitive environment Customer orders, market research, focus groups, and forecastsPersonnel skill levels, available resourcesProfit, cash flow, and revenue growthLevels of desired customer service, plan
17、ned quality improvements, cost reduction goals, and productivity improvements,1-21,Finished ProductsManufacturing ProcessRaw Materials,Manufacturing Environment Characteristics,MTS,MTO or ETO,ATO or Mass Customization,1-22,Volume/Variety Relationships,Product Volume,Product Variety,High,Low,High,Eng
18、ineer-to-Order,Make-to-Order,Assemble-to-Order,Make-to-Stock,Mass Customization,1-23,P:D Ratio,Production time,Delivery time,1-24,Manufacturing Environment and Supply Process Strategy,Supply ProcessProject, DiscreteDiscrete BatchIntermittent BatchContinuous Flow or Repetitive Flexible high volume,Ma
19、nufacturing Environment Strategy Engineer-to-Order Make-to-Order Assemble-to-Order Make-to-Stock Mass Customization,1-25,Manufacturing Environment Strategies,Make-to-Order Production initiated after receipt of customer order Concerns: Production schedule, flexible facilities Lead time may be lengthy
20、,Engineer-to-Order Design and production initiated only after receipt of customer order Concerns: Availability of technical resources, resource availability, flexible facilities Lead time may be lengthy,1-26,Make-to-Stock Product shipped from finished goods, “off the shelf” Concerns: Inventory costs
21、, stock distribution Forecast error could be expensive (applies to all strategies),Assemble-to-Order A customer-ordered item where some or all subcomponents used in assembly, packaging, and finishing processes are planned and stocked in anticipation of a customer order Concerns: Rapid delivery, cust
22、omized variations,Manufacturing Environment Strategies,1-27,Service Delivery Characteristics,Customized,Standard,1-28,Sales and Operations Planning,Formal business process Balances demand and supply Product Families (not items) Volume, not mix Monthly review cycle Both product and financial units,So
23、urce: Wallace, Tom F. Sales and Operations Planning, A How-To Guide, T.F. Wallace & Co. 1999.,1-29,Sales and Operations Planning Benefits,Links business plan to departmental operations Provides a means to work for a common goal Provides a realistic production plan for meeting business objectives Eli
24、minates counterproductive “hidden” or unilateral decisions,1-30,Product Families,Represent how the product is presented to the market Logical groupings based on similar sales and manufacturing requirements Should be meaningful in terms of volume of sales generated Ideally should be no more than 6-12
25、 product groupings per business unit,1-31,Product /Service Hierarchy,Stockkeeping Unit (SKU),Package Size,Catalog Number/Model/Brand,Product Subfamily,Product Family,Business Unit,Total Company,Source: Wallace, Tom F. Sales and Operations Planning, A How-To Guide, T.F. Wallace & Co. 1999.,1-32,Resou
26、rce Planning,Conducted at the business planning and sales and operations planning levels, but normally based on the production plan Addresses long-range capacity Establishing Measuring Adjusting limits Long-term resource acquisition Always requires top-management approval,1-33,Bill of Resources,A bi
27、ll of resources is a listing of the required amount of constraining resources needed to manufacture one unit of a selected item or family. These could include the following resources: Labor Materials or components Facilities Equipment Research and development Finances,1-34,Source: APICS Dictionary,
28、Ninth ed. 1998,Master Scheduling,Formal business process Balances demand and supply For specific products and end items Subject to independent demand Used for order promising Sets boundaries for material and capacity planning,1-35,Rough-Cut Capacity Planning,Formal business process Used to convert t
29、he MPS into load projections on critical workcenters and supply processes Used to determine feasibility of the MPS,1-36,Session 1 Review,Identify and describe the elements of master planning of resources. Identify and describe the levels of the planning hierarchy. Describe and distinguish the roles in the planning process that product volume and product mix play. Describe the elements of business planning. Identify and describe the inputs to a business plan. Identify and briefly describe several manufacturing environments.,
