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A Hierarchical Production Planning and Control System in a Make-to-Order Environment with Dynamic Events

Gil‐Sang Jang, Jae-Gyun Kim

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Abstract

Production planning and control system plays an important role in manufacturing companies because it determines all production capacity planning, material procurement planning, and production scheduling which are needed in the process of producing products. Many researches on production planning and control system have been conducted for many manufacturing companies for recent decade. But, a considerable research achievement has mainly been obtained on the forecast-driven production for a make-to-stock and an assemble-to-order. The reason is that there are some hardships such as difficulties of standardizing product information, the frequent changes of design and material, and the unexpected dynamic events that influence the production of customer's order in a make-to-order or an engineering-to-order environments. By these characteristics and their complexities, some studies for production planning and control system in a make-to-order environment are presented recently. In this paper, we present the framework of the hietachical production planning and control for a make-to-order environment with dynamic events. In order to illustrate the usefulness of the proposed framework for a hietachical production planning and control, the information system for a make-to-order production was implemented with the object of the company of producing electricity transformer.

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Production planning and control system plays an important role in manufacturing companies because it determines all production capacity planning, material procurement planning, and production scheduling which are needed in the process of producing products. Many researches on production planning and control system have been conducted for many manufacturing companies for recent decade. But, a considerable research achievement has mainly been obtained on the forecast-driven production for a make-to-stock and an assemble-to-order. The reason is that there are some hardships such as difficulties of standardizing product information, the frequent changes of design and material, and the unexpected dynamic events that influence the production of customer's order in a make-to-order or an engineering-to-order environments. By these characteristics and their complexities, some studies for production planning and control system in a make-to-order environment are presented recently. In this paper, we present the framework of the hietachical production planning and control for a make-to-order environment with dynamic events. In order to illustrate the usefulness of the proposed framework for a hietachical production planning and control, the information system for a make-to-order production was implemented with the object of the company of producing electricity transformer.

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Available abstract

Production planning and control system plays an important role in manufacturing companies because it determines all production capacity planning, material procurement planning, and production scheduling which are needed in the process of producing products. Many researches on production planning and control system have been conducted for many manufacturing companies for recent decade. But, a considerable research achievement has mainly been obtained on the forecast-driven production for a make-to-stock and an assemble-to-order. The reason is that there are some hardships such as difficulties of standardizing product information, the frequent changes of design and material, and the unexpected dynamic events that influence the production of customer's order in a make-to-order or an engineering-to-order environments. By these characteristics and their complexities, some studies for production planning and control system in a make-to-order environment are presented recently. In this paper, we present the framework of the hietachical production planning and control for a make-to-order environment with dynamic events. In order to illustrate the usefulness of the proposed framework for a hietachical production planning and control, the information system for a make-to-order production was implemented with the object of the company of producing electricity transformer.

Key concepts: Production planning, Build to order, Material requirements planning, Order fulfillment, Production control, Production (economics), Order (exchange), Control (management)

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