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Production Planning and Scheduling: Best Practices

Naama Aharoni  |  August 7, 2023

How to simplify the complexity of managing multiple BOMs?

A complex production environment encompasses multiple processes, operations, and resources, making planning, scheduling, and execution more complicated. Without appropriate systems to manage production operations, process manufacturers may face inefficiencies and difficulties when attempting to control costs, schedule tasks, track inventory levels, and analyze data.

The complexity of managing multiple Bills of Materials (BOMs) is a major challenge for SMB process manufacturers. A BOM serves as the blueprint for production and contains all the information required to construct a product, including parts, components, materials, tools, and processes. Managing multiple BOMs can be time-consuming and costly if manufacturers use manual processes.

Managing engineering BOMs and manufacturing BOMs (mBOMs and eBOMs) further increase complexity, as they sometimes need different levels of detail, and the data must be kept up-to-date.

Best practices to improve production planning and scheduling

Proper production planning and scheduling are essential components of an effective production environment. It ensures optimal utilization of resources, minimizes lead times and enhances productivity.

Here are some best practices that manufacturers can implement to improve production planning and scheduling:

IMPLEMENT MATERIAL REQUIREMENTS PLANNING (MRP)
MRP is a planning tool that helps to ensure that the necessary materials are available for production at the right time. MRP calculates the materials needed for production based on the MPS and inventory levels, helping to prevent stock-outs and overstocking.

OPTIMIZE PRODUCTION SEQUENCING
Production sequencing is scheduling production runs in an optimal order. You can use an adequate tool to reduce lead times to make the best use of resources considering multiple factors such as production time, changeover time, inventory levels, and customer demand.

USE FINITE CAPACITY SCHEDULING
Finite capacity scheduling is a tool that helps ensure production is scheduled based on available resources. This helps to prevent the overloading of resources and ensures that production runs are scheduled in a way that maximizes productivity.

IMPLEMENT LEAN MANUFACTURING PRINCIPLES
Lean manufacturing is a philosophy that focuses on eliminating waste and improving efficiency. Process manufacturers can implement lean principles such as just-in-time (JIT) manufacturing, continuous improvement, and value stream mapping to optimize production processes and enhance productivity.

USE REAL-TIME PRODUCTION DATA, METRICS AND ANALYTICS
Real-time data on production performance can help identify bottlenecks, optimize processes, and improve efficiency. Together with performance metrics such as on-time delivery, customer satisfaction, and inventory turns which can help track performance and pinpoint gaps in the process.

USE A MASTER PRODUCTION SCHEDULE (MPS)
An MPS is a planning tool that helps ensure production is aligned with customer demand. The MPS specifies what products will be made, in what quantity, and when they will be produced. This helps to optimize production processes, minimize lead times, and ensure customer satisfaction.

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