Gms 805 Study Notes. Chapter 8

A framework for Production Activity Control
1) Production Activity Control (PAC) concerns the execution of material plans. [Back end]
• Activities that fall partly or completely within the realm of Production Activity Control:
 Shop-floor Scheduling and Control (SFC)
 Vendor scheduling and Follow-up
 Order, Release and Purchasing ( procurement)
In purchasing, procurement is professional activity where info networks, relationships, terms and conditions are established with vendor companies outside of Pac.

2) MPC System Linkages:
• If insufficient capacity is provided, no SFC will be able to decrease backlogs, improve delivery and improve output. But with over capacity, and SFC will work.
 Find the proper execution systems with vendors and suppliers. This can be difficult so just get results that properly hit MPS & customers
• Formal systems for shop-floor control (SFC) are largely unnecessary under JIT

3) MRP & PAC functions
• Revise due dates and quantities for schedules receipts so correct priorities are maintained.
• Have control and follow up systems must keep each order lined up with its due date; despite moving dates overall MPC will be supported.
• Helps with SFC and vendor follow systems to material and capacity planning. Feedback of:
 Status info - where things are, notification of operational completions, count verifications, order close out and disposition and accounting data.
 Warning signals – flag inadequacies in materials and capacity plans

4) JIT effect on PAC:
• Formal SFC is unnecessary under JIT; Shop order paperwork isn’t maintained.
• Order release through kanbans or other pull system
• Limited work-in-process inventories
• Detailed scheduling is not needed – workers know the routine
• No data collection or monitoring requirements–only raw material and finished goods inventories

5) The Company Environment
• The primary PAC objective is managing material flows to meet MPC plans
 Firm