In any product manufacturing company, considerable time is spent on planning the output to be produced.
Introduction to Production Planning
In any product manufacturing company, considerable
time is spent on planning the output to be produced. Production planning means
to fix the production goals and to estimate the resources which are required to
achieve these goals. It prepares a detailed plan for achieving the production
goals economically, efficiently and in time.
It forecasts each step in the production process.
It forecasts the problems, which may arise in the production process. It tries
to provide remedial measures to resolve these issues. It also tries to remove
the causes of wastage.
Thus, Production Planning may be defined as
“Production Planning is concerned with the determination, acquisition and
arrangement of all facilities necessary for future operations.”
Production planning provides answers for two major
questions, viz.,
•
What work should be done?
•
How much time will be taken to
perform the work?
So, production planning decides the ways and means
of production. It shows the direction. It is based on sales forecasting. It is
a pre-requisite of production control.
Tags : Operations Management - Introduction to Operations Management
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