What is Production Planning? Meaning
blogspot.com//search?q=what-is-production-definition-meaning">Production blogspot.com//search?q=what-is-production-definition-meaning">planning way to create the production goals together with to justice the resources which are required to attain these goals. It prepares a detailed invention for achieving the production goals economically, efficiently together with inwards time. It blogspot.com//search?q=what-is-production-definition-meaning">forecasts each blogspot.com//search?q=what-is-production-definition-meaning">step inwards the production process. It forecasts the problems, which may arise inwards the production process. It tries to withdraw these problems. It likewise tries to withdraw the causes of wastage.
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Production planning provides answers for 2 major questions, viz.,
- What piece of employment should survive done?
- How much fourth dimension volition survive taken to perform the work?
So, production planning decides the ways together with way of production. It shows the direction. It is based on sales forecasting. It is a prerequisite of production control.
Definition of Production Planning
According to Ray Wild, production planning is defined every bit follows:
"Production Planning is concerned with the determination, acquisition together with organisation of all facilities necessary for futurity operations."
Objectives of Production Planning
The need, top dog functions or objectives of production planning are every bit follows:
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- Effective utilization of resources.
- Steady menses of production.
- Estimate the resources.
- Ensures optimum inventory.
- Coordinates activities of departments.
- Minimize wastage of raw materials.
- Improves the labour productivity.
- Helps to capture the market.
- Provides a improve piece of employment environment.
- Facilitates character improvement.
- Results inwards consumer satisfaction.
- Reduces the production costs.
Now let's hash out each objective of production planning ane past times one.
1. Effective utilization of resources
Production planning results inwards effective utilization of resources, constitute capacity together with equipment. This results inwards low-cost together with high returns for the blogspot.com//search?q=what-is-production-definition-meaning">organization.
2. Steady menses of production
Production planning ensures a regular together with steady menses of production. Here, all the machines are set to maximum use. This results inwards a regular production, which helps to give a routine furnish to customers.
3. Estimate the resources
Production planning helps to justice the resources similar men, materials, etc. The justice is made based on sales forecast. So production is planned to encounter sales requirements.
4. Ensures optimum inventory
Production planning ensures optimum blogspot.com//search?q=what-is-production-definition-meaning">inventory. It prevents over-stocking together with under-stocking. Necessary stocks are maintained. Stock of raw textile is maintained at a proper grade inwards gild to encounter the production demands. Stock of finished goods is likewise maintained to encounter regular demands from customers.
5. Coordinates activities of departments
Production planning helps to coordinate the activities of unlike departments. For e.g. the marketing subdivision coordinates with production subdivision to sell the goods. This results inwards earnings to the organization.
6. Minimize wastage of raw materials
Production planning minimizes wastage of raw materials. It ensures proper inventory of raw materials together with materials handling. This helps to minimize wastage of raw material. It likewise ensures production of blogspot.com//search?q=what-is-production-definition-meaning">quality products or goods. This results inwards a minimum rejects. So proper production planning together with command results inwards minimum wastage.
7. Improves the labour productivity
Production planning improves the blogspot.com//search?q=what-is-production-definition-meaning">labour blogspot.com//search?q=what-is-production-definition-meaning">productivity. Here, at that spot is maximum utilization of manpower. Training is provided to the workers. The profits are shared with the workers inwards shape of increased payoff together with other incentives. Workers are motivated to perform their best. This results inwards improved labour efficiency.
8. Helps to capture the market
Production planning helps to give delivery of goods to customers inwards time. This is because of regular menses of character production. So the companionship tin flame expression upwardly contest effectively, together with it tin flame capture the blogspot.com//search?q=what-is-production-definition-meaning">market.
9. Provides a improve piece of employment environment
Production planning provides a improve piece of employment surroundings to the workers. Workers larn improved working conditions, proper working hours, larn out together with holidays, increased payoff together with other incentives. This is because the companionship is working really efficiently.
10. Facilitates character improvement
Production planning facilitates character improvement because the production is checked regularly. Quality consciousness is developed alongside the employees through training, proposition schemes, blogspot.com//search?q=what-is-production-definition-meaning">quality circles, etc.
11. Results inwards consumer satisfaction
Production planning helps to give a regular furnish of goods together with services to the consumers at far prices. It results inwards consumer satisfaction.
12. Reduces the production costs
Production planning makes optimum utilization of resources, together with it minimizes wastage. It likewise maintains optimum size of inventories. All this reduces the production costs.
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