Production Planning and its importance in bakery





















Production planning plays a very important role in bakery . Its main objective is to plan production of
various SKU s in advance so as to enable each part of production to be ready when actual production is
schedule . Production plan are made generally for a month and further broken down to weekly and daily
production plan . Production plan also helps in getting product with optimum cost . Big bakeries with multi
location have centralised production plan made and which are then synchronised with individual plants
at local levels .Production planning help companies to avoid any sale loss due to un availability of
product .In most of the large bakeries PPC ( Production Planning & Control ) takes help of ERP
software to plan production .


Sales forecast


PPC deptt collects the sales forecast from sales deptt and plan s production keeping into following
factors in mind. Normally a pattern is set for various SKUS demand with few special orders such as
Promos or  special orders from big customer s.

Production plans are made with these critical factors


* Availability of material
* Availability of manpower
* Availability of plant and machinery
* Dispatch plan



Material requirement planning


Once sales forecast are available PPC deptt issues material requisition to purchase deptt for sourcing of
ingredients , packaging and some cases machine spare parts .Lead time plays important role hence
material having longer lead time needs to be procured in larger volume .Also one needs to check the
stock s in hand while ordering .


Plant loading


PPC deptt then plan the optimum loading of plants with keeping in view the plant efficiency /capacities
and availability . Production plan helps engineering deptt to take any modification or repair in advance to
meet the schedule .


Change Overs


Normally change overs are avoided but for demand from market PPC has to plan change overs with
minimum loss of time and loss to production .


Manpower


Manpower requirement are spelt out in advance with help of production plan so that in case of increase
in number the HR deptt arrange the numbers in advance or inversely if decrease in requirement of
worker the contractors are notified in advance


Dispatch


Once the production plan is made the logistics deptt arrange for the container accordingly and the
containers are ready at the time of production and documentation done without delays.


Even after careful production planning there might be changes in production plan for which there should
be a secondary plan which can be taken without significant loss to the company . Main Reasons are
listed


1 Stock out situation for raw material/packaging


2 Break down of machinery


3 Non availability of labour


4 Cancellation of Order


5 Situation like strikes / government orders / Break down in Utilities such as electricity /water supply .


6 Transport Problem


PPC deptt acts as the centre of all activity  related to factory operations hence it  should be alert and
keep a tab on developments  of internal and external factors affecting factory operations  .





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