Your plant operations are struggling with efficiency. What production planning tools can help?

Some what counter intuitive - before one decides to use a tool for production planning, one should observe & analyze. What are the challenges? Where is the Inventory pile up occurring? Before start of production, during or post production? What are the issues that crop up daily? Where is the most management attention required on day to day basis? Often the solution to these problems are straightforward & simple. Once we have sized up the problem, understood what are the outcomes needed to meet & exceed customer expectations, we can ascertain which problem to tackle. Is it logistics? Quality? capacity?... Only then should one decide to choose the appropriate tool. Personally, I favor using TOC to prioritise and TQM to address the challenge.

1. **Enterprise Resource Planning (ERP) Systems:** These integrated systems can help streamline processes, manage resources effectively, and provide real-time data for decision-making. 2. **Manufacturing Execution Systems (MES):** MES software can optimize production processes, track real-time data, and improve overall productivity on the plant floor. 3. **Advanced Planning and Scheduling (APS) Systems:** 4. **Inventory Management Software:** Effective inventory management tools can help minimize stockouts, reduce excess inventory, and streamline supply chain operations. 5. **Predictive Maintenance Tools:** Utilizing predictive maintenance software can help prevent equipment breakdowns, reduce downtime, and optimize maintenance schedules.

Production planning tools, like ERP systems, facilitate the optimization of resources, efficient management of inventory, improved customer satisfaction, provision of timely information, cost control, reduction of surplus stock, and the implementation of material requirements planning to ensure appropriate quantities are ordered at the correct time. Additionally, these tools play a crucial role in conducting scenario analysis, setting order priorities, making informed decisions, and selecting the most effective approach.

It is imperative to collect the data including all production goals, process parameters, human resource etc to carryout the Root Cause Analysis by using RCA tools (i.e. fishbone or FMEA) to evaluate the actual cause. Thereafter, use ERP tools to eliminate the cause and optimize the resources and improve customer satisfaction.

Bringing together Lean Six Sigma for fine-tuning processes, SWOT analysis to align strategies, MIS tools for on-the-fly data insights, Life Cycle Assessment for sustainability, and Project Management Planning form a well-rounded production planning strategy. This combination, working seamlessly, boosts efficiency, elevates quality, aids in strategic decision-making addresses environmental concerns, and ensures successful project outcomes. The outcome is a robust and smoothly operating production framework that's both resilient and streamlined.

I would start with a Pareto of the products that are being run on the manufacturing line, and try to understand all of the variables about them. For example: run-time, quantity, labor hours, headcount, quality rejection rate, budgeted volume, etc. After stitching together all of this data, next you would need to tell a compelling story that the data supports. From that point on, the tool that you choose is dependent on the outcome of the data analysis. For example, your inefficiency may be the result of poor attendance, lack of cross-training, unplanned machine downtime, poor interdepartmental communication, lack of process controls, etc. Thus, the tools used to control production will come from the results of the analysis.

Stated simply, the essential criteria to choose tools would be ease of usage, reliable, lean on IT resources, scalable, intuitive and configurable to suit individual requirements. Such tools can have the best adaption & success rates. It stands to reason that we should use a tool that is the defacto industry standard. The challenge in such an approach would be that we can not have a competitive advantage. So, I would favor a tool that meets the criteria stated earlier.

There is a vast array of production planning tools and it helps to have familiarity with what each of them does. There is a long list of such tools - MRP, ERP, TOC, TQM, TPM, SPF/TPS, Kanban, Lean, QFD, 6 Sigma, Balanced Scorecard... The over arching outcome expected from any tool is cost efficient output, on time in full, and as per the required quality standard. Rather than fussing over which one is the best, I would recommend choosing the one that suits us best. At the base of it all, some good practices like respect, trust, engagement, encouragement etc works wonder. Once can start with a tool and graduate / move to others as needed going forward. I recommend focussing on what outcomes we must pursue rather than which tool we adopt

There are a variety of production planning tools used to improve throughput and efficiency in manufacturing including: - Materials Requirements Planning (MRP) - Enterprise Resource Planning (ERP) - Sales forecasts - Process maps - Employee cross-training schedules - Part routers - A list of equipment, with part competition - A list of part cycle times - A list of part diameters, weights, alloys, chemicals, etc. Essentially, you want to use all of the tools available to you to improve throughput through your plant. This means having good knowledge of which parts compete with each for machines, and processes, and how best to move them through the system. An ERP is a highly useful tool, if you program it correctly.

The primacy of the End must never be overlooked. As a Production system, there are no gains if we adopt and practice a particular Production Planning Tool in the best possible manner, but fall short of the Expected Outcomes. I have seen organisations falling in the trap of being seen as Benchmark for use of a Tool, while not being the Industry leader. Tools after all are mere Means to an End. The best measure for effectiveness of planning tools would be on how well haas it been able to meet or exceed our desired outcomes - Inventory, Cycle Times, Order Fulfilling rates, customer retention, repeat orders...

In my experience , selection of right production planning tool based on the size and complexity is important for ensuring effectiveness of production planning tool. Other thing to consider is strict data discipline in all level will help to improve effectiveness of production planning tool. Most important think to consider is to improve efficiency of the processes by training and implementation.

Besides the tool itself it is important to refocus that employees’ skills since they will have to work differently from the past. One of the biggest risk that could possibly occur, is to do not support the transition (new tools, new habits, new approach) to the new environment and as result, the productivity might decrease instead of being boosted.

Using your production planning tools correctly means: 1. Being able to understand the inputs to the data. 2. Being able to understand the meaning of the data. 3. Making effective decisions from the data. Essentially, your production planning tools are just useful pieces of information. It is up to you as a manufacturing leader to stitch together the story to understand what to do with the data. Ultimately, leaders are not paid to look at, and play with data. They are paid to make effective decisions that change outcomes such as: - Increasing throughput - Increasing productivity - Reducing cost - Reducing scrap - Reducing rework Your best asset as a leader is learning how to tell an effective story with data, and then execute actions.

There are several different production planning tools. 1. You can use an ERP, you ca review your backlog to look for order volume, lead times, supply chain needs, etc. 2. You can use Excel you can download your backlog into a format that makes it easy to break up into departments, sizes, product lines, delivery dates, and so on. 3. You can use Excel to plan your plant capacity at specific departments. 4. You can use Microsoft Visio to develop process flow diagrams of the different process flows required to get your sellable product to your customers. Beyond that, getting your products through your system requires a whole lotta hustle, drive, creativity, continuous improvement, and accountability. Push, but don't punish your team.

Address efficiency challenges in plant operations with advanced production planning tools. Implement Enterprise Resource Planning (ERP) systems for integrated solutions, Manufacturing Execution Systems (MES) for real-time monitoring, and Advanced Planning and Scheduling (APS) tools for optimized production scheduling. Enhance logistics with Supply Chain Management (SCM) software and invest in Production Performance Management (PPM) tools for analytics. These tools collectively streamline processes, minimize downtime, and improve overall efficiency in plant operations, ensuring a more responsive and agile production environment.

From my experience with turning plant operations around, there are two key elements: 1. Analyzing data. 2. Being present on the floor. Analyzing data gives you the ability to see facts, and the potential financial impact. While this is an important element, it is also important to realize that there are exceptions to all data, and you must also understand the historicity alongside the data. Being present on the floor will give you the information that you can't see from a spreadsheet. For example: - Is the team challenged, or pushed? - What is the culture around defects, and scrap? - Does the team report everything correctly? - What improvement opportunities can you implement? - How can you motivate the team to execute higher?