08791490301
DRIVE
WINTER 2014
PROGRAM
MBADS (SEM 4/SEM 6)
MBAFLEX/ MBA (SEM 4)
PGDOMN (SEM 2)
SUBJECT CODE & NAME
OM 0017 – ADVANCED PRODUCTION PLANNING AND CONTROL
CREDIT - 4
BK ID - B2010
MARKS – 60
Q1. a. What is the importance of production planning and control? b. What factors affect inventory planning and control? c. What is the difference between batch and mass production? 2, 3, 5
Answer: Importance of production planning and control: Production planning and control is important for an organisation in different ways. Let us discuss its importance:

Reduces cost of production by minimizing wastage of material and economic utilization of resources
Q2. What is a master schedule? Explain. ( Define master schedule, List the features of a master schedule, Discuss the process of master scheduling, List the uses of master schedule, List the characteristics of master schedule, Describe the factors related to demand management that should be kept in mind While developing the master schedule) 1, 1, 1, 1, 3, 3

Answer: Master Schedule: Master schedule is the presentation of the production schedule at the summary level, depicting various key elements, resulting from the process of master scheduling. In simple words, it can also be said that the master schedule is a plan or format that integrates and relates other production processes such as demand management, inventory planning and capacity planning.
Features of a master
Q3. What are the different types of planning and scheduling tools? Explain. (List the three types of planning and scheduling tools, Discuss the three types of planning and scheduling tools) 1, 9
Answer: Types of Planning and Scheduling Tools: Depending upon the requirements of the production process, manufacturing organisations use different types of planning and scheduling tools. There are no set parameters to opt for a particular tool.
Turnkey or off-the-shelf solutions
Custom systems
Excel and visual basic tools
Turnkey or off-the-shelf solutions: Turnkey or off-the-shelf solutions are ready-made solutions that a manufacturer can use without spending any time in their customisation or development. It takes a lot of time for planning and scheduling tools to be customised if a manufacturer wants to develop it from the beginning. After the
Q4. a. What are the pillars of lean production? b. What factors should be considered while implementing a production planning and control system? ( List the pillars of lean production, Discuss then pillars of lean production, List the factors that help in the successful implementation a production planning and control system, Explain each factor in brief) 1, 4, 1, 4
Answer: pillars of lean production: The foundation of lean production stands on just-in-time and Jidoka, which are referred as the two pillars of lean production. Both these pillars provide the basis for lean production by providing some important concepts in lean production such as pull system, 3 Ms, 5S, fail proofing system, etc.
Let us now discuss
Q5. Case Study: Planning and Scheduling at John Smith Pvt .Ltd
John Smith is a manufacturing organisation of apparels and accessories, specialising in both men and women segments. The organisation started in the US and gradually extended its different branches and merchandise to other nations as well. The organisation was not only favoured by customers but was also loved by its employees for the work environment it provided. Employees were not only paid well but were also provided good appraisals that motivated them to give their best to the organisation.
Current planner Mr. Jackson had been working with the organisation for the past 15 years and now wanted to take retirement from his work due to his age. The organisation bid him farewell and
Mr.Max was hired as the new planner for the organisation on the basis of his qualifications and experience. After Mr. Max completed 1 year, the organisation observed dissatisfaction

Among its employees. The reason was that employees were not happy with the way production was carried out. There was too much pressure on employees, and Mr. Max was accepting more orders than the workers could manage.
This was demotivating workers and employees, and as a result , the company observed the highest attrition rate in its history. The management immediately reacted to the situation and called back
Mr. Jackson as an external planning consultant to address the issue at the earliest,
Because management was losing its manpower, which was affecting the business.
Mr. Jackson paid a visit to the organisation and studied the records for the past 1 year. He also
Had a discussion with the new planner, Mr. Max, for the current appraisal system. On the basis of his observations and discussions, Mr. Jackson made certain conclusions. He stated that Mr. Max was not following the appropriate production process, because the number of orders accepted for production was more than the resources available at the production unit. He also stated that the problem was not completely Mr. Max’s fault, because the organisation did not train him on the existing production process and neither did they make him aware of the competitors and the market.
Question
What is main issue in the case study? Evaluate why this issue was caused and provide a solution to resolve it.
Describe the main issue in the case study.
To evaluate why the issue was caused

Assess if the recruitment of the new planner was done correctly
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Discuss if the planner has the requisite skills and knowledge
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Argue if training the planner would have resolved the problem, would performance measurement helped in identifying the issue
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Provide the solution from point of view evaluation made
Answer:
Q6. Write short notes on: 10 (2.5 marks each)

Cost centre

Objectives of sales and operations planning
 Bills of Distribution (BOD)
 Advanced scheduling
Answer: Cost centre: According to the Chartered Institute of Management Accountants, London, a cost centre is“a location, person, or item of equipment (or a group of these) for which costs may be ascertained and used for the purpose of cost control.”
In simple words, a cost centre can be defined as a machine, a department, a person, or a group of persons for which the cost is ascertained. A cost centre helps in controlling cost by artificially dividing and sub-dividing the

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