Production planning will also know as PPC. Production panning will depend up the following:
1.Product And Its Production Process: Nature of product will be the main factor of while doing the production planning. It will also depend upon the lead time between production processes, automatization in the process line (assembly line), Production capacity of the plant etc. In each production line various jobs may undertake according to the production process and ERP will provide the user to plan the date of execution of each job. As per the planning, production controller analysis the production and can find out the reason for any delay if occurred.
2. Marketing Strategy: PPC is also depending upon the marketing strategy of the company. According to the current market scenario and the past experience the marketing department will forecast the requirements to meet the future marketing activities. Business targets, orders in hand, perishability of the products, upcoming season, etc. will also the main deciding factors of marketing strategy.
Job Order Or Production Indent
As per the production planning, job order or production indent will be issued to the production department. Production indent will notify what quantity to be produced and may have the tentative date of expected delivery or requirement. On the basis of the job order production department can proceed with production activities and can schedule production process.
Material Indent or Material Requisition Slip
Material indent or material requisition slip is issued by the production in-charge or floor supervisor to the material store where the required raw material or consumables’ are stored and accordingly store in charge will issue the material as per MR. There have a provision for automatic issue of raw material as per the raw material setup for the slandered raw material.