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Production Planning in Process Optimization Techniques

$249.00
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Self-paced • Lifetime updates
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Includes a practical, ready-to-use toolkit containing implementation templates, worksheets, checklists, and decision-support materials used to accelerate real-world application and reduce setup time.
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This curriculum spans the design and execution of integrated production planning systems, comparable in scope to a multi-phase operational improvement initiative involving demand management, master scheduling, and cross-functional supply chain alignment.

Module 1: Demand Forecasting and Capacity Alignment

  • Selecting between exponential smoothing and regression-based forecasting models based on historical data stability and seasonality patterns.
  • Reconciling sales team projections with statistical forecasts during S&OP meetings to avoid overcommitment or underutilization.
  • Adjusting capacity buffers in high-mix, low-volume environments where product changeovers impact effective throughput.
  • Implementing rolling forecasts with a 12–18 month horizon while maintaining alignment with financial planning cycles.
  • Integrating customer lead time commitments into forecast models to prioritize high-service-level SKUs.
  • Managing forecast error escalation protocols when variance exceeds predefined thresholds across product families.

Module 2: Master Production Scheduling (MPS) Design

  • Defining planning time fences that balance schedule stability with responsiveness to urgent customer changes.
  • Setting appropriate MPS level (end item vs. module) in assemble-to-order environments with configurable products.
  • Handling pegging logic in ERP systems to trace component demand back to specific customer orders.
  • Resolving conflicts between finite capacity constraints and infinite capacity planning assumptions in master scheduling.
  • Implementing time-phased ATP (Available-to-Promise) rules to support realistic delivery date quotations.
  • Managing frozen zone exceptions for engineering changes or regulatory batch requirements.

Module 3: Material Requirements Planning (MRP) Execution

  • Tuning MRP lot-sizing rules (e.g., lot-for-lot, POQ, fixed order quantity) based on setup cost and inventory carrying trade-offs.
  • Configuring safety stock levels at raw material, component, and finished goods levels using service level targets and lead time variability.
  • Resolving MRP nervousness through time-phased order release controls and firming of planned orders.
  • Managing phantom bills of material for subassemblies that are never stocked but used across multiple products.
  • Handling scrap factors and yield loss in BOMs for chemical or thermal processing stages.
  • Coordinating MRP regeneration frequency with supply lead time volatility and procurement review cycles.

Module 4: Capacity Planning and Finite Scheduling

  • Developing rough-cut capacity plans using resource profiles for critical work centers with constrained throughput.
  • Implementing finite scheduling in job shops where sequence-dependent setups impact machine utilization.
  • Allocating bottleneck resources using priority rules (e.g., shortest processing time, earliest due date) during overload conditions.
  • Integrating labor availability, shift patterns, and maintenance downtime into capacity models.
  • Validating capacity assumptions with shop floor supervisors before releasing production orders.
  • Monitoring utilization vs. efficiency metrics to distinguish between planned downtime and performance losses.

Module 5: Supply Chain Integration and Supplier Collaboration

  • Establishing VMI (Vendor Managed Inventory) agreements with key suppliers for high-consumption raw materials.
  • Aligning internal production cycles with supplier delivery schedules to minimize inbound logistics costs.
  • Implementing EDI or API integrations for real-time exchange of forecast, order, and inventory data.
  • Negotiating consignment stock arrangements for long-lead or high-value components.
  • Managing dual-sourcing strategies to mitigate supply disruption risks while avoiding forecast fragmentation.
  • Conducting joint business planning sessions with strategic suppliers to align capacity investments.

Module 6: Production Control and Real-Time Monitoring

  • Deploying shop floor data collection systems (barcode/RFID) to track work order progress and labor reporting.
  • Setting up escalation workflows for production delays exceeding predefined tolerance bands.
  • Using Gantt charts and dispatch lists to communicate daily priorities to supervisors and operators.
  • Managing work-in-process (WIP) limits to prevent overproduction and congestion at downstream stations.
  • Integrating quality hold statuses into production scheduling to prevent release of non-conforming batches.
  • Reconciling actual cycle times with standard times to update routing data and improve future scheduling accuracy.

Module 7: Continuous Improvement and Performance Management

  • Defining and tracking KPIs such as on-time delivery, schedule adherence, and capacity utilization across production units.
  • Conducting root cause analysis on recurring planning failures (e.g., stockouts, excess WIP) using Pareto analysis.
  • Implementing S&OP maturity assessments to identify gaps in cross-functional integration and data governance.
  • Optimizing planning batch sizes and reorder points using total cost of ownership models.
  • Refining safety stock parameters using statistical analysis of demand and supply variability.
  • Upgrading planning system logic to support multi-echelon inventory optimization in distributed networks.

Module 8: Technology Enablement and System Configuration

  • Configuring MRP parameters in ERP systems (e.g., SAP, Oracle) to reflect actual lead times and lot-sizing policies.
  • Validating data integrity in BOMs, routings, and inventory records before system go-live or major upgrades.
  • Designing user roles and authorization profiles to enforce segregation of duties in planning transactions.
  • Integrating advanced planning systems (APS) with MES and ERP for synchronized production execution.
  • Testing simulation scenarios for demand surges or supply disruptions using digital twin models.
  • Establishing change control procedures for master data updates to prevent unplanned schedule impacts.