What about the functionality of your tools to plan production quickly, accurately and as optimally as possible? Traditional Excel spreadsheets are therefore increasingly being replaced by more sophisticated tools that are better equipped to optimally manage complex production environments. One such tool is Advanced Planning & Scheduling (APS). In this blog, we explore what APS is and discuss its benefits. In addition, we focus on how artificial intelligence (AI) is playing a revolutionary role in the development of APS.

What is Advanced Planning & Scheduling (APS)?

Advanced Planning and Scheduling (APS) involves a production management process that optimally matches raw materials, personnel and production resources to the production required. Production scheduling is inherently complex because of the vast number of possible solutions. APS software is especially suited to environments where simple scheduling methods fall short or depend on individuals.

Traditional planning and scheduling systems often treat material and capacity planning as separate and sequential processes. While this method is simple and widespread, it does not adequately take into account the interdependencies between the materials required and the boundary conditions of the production environment, among others. This makes it difficult to adjust plans as demand changes, often resulting in unrealistic and infeasible schedules. Despite attempts to implement more sophisticated systems or customization, these have not always been successful.

Unlike traditional systems, an APS solution schedules materials, machines and personnel simultaneously. Here, demand priorities are also carefully considered. That demand can include, for example, current orders, but also expected demand based on demand planning.

APS software is typically used in situations where one or more of the following conditions apply:

• Make-to-order production environments instead of build-to-stock.
• Capital-intensive production environments where optimal utilization of available capacity is critical.
• Manufacturing environments with a large product mix, where products compete for scarce materials and capacity.
• Manufacturing environments with many components or production steps.
• Production environments where frequent schedule adjustments are required.

APS is an integrated solution that helps companies optimize production and supply chain processes. It combines various planning and scheduling functions to coordinate production, staffing and material needs in a way that ensures maximum efficiency and customer satisfaction. APS systems are designed to manage the complexity of manufacturing environments by providing real-time visibility into capabilities, constraints and opportunities.

Benefits when switching from Excel to APS

Medium-sized manufacturing companies often use Excel for day-to-day production scheduling. And although Excel is accessible and has brought a lot of flexibility, planners are increasingly running into limitations. In those cases, an APS solution logically comes to mind.

In fact, switching from Excel to APS typically offers the following benefits:

• Improved efficiency and optimization: APS systems use advanced algorithms and AI to optimize complex production schedules. They take into account multiple factors, such as raw materials, machine capacity, staffing and delivery times. This allows companies to operate more efficiently, reduce costs, shorten lead times and minimize waste.
• Real-time visibility, integration and flexibility: APS systems are often integrated with ERP and other IT systems, providing real-time data insights. This allows companies to react more quickly to changing conditions, such as demand fluctuations or supply chain disruptions. This increases flexibility and agility in production planning.
• Better capacity and demand planning: When APS systems support demand forecasting, they take into account both available production capacity and market demand. This makes it possible to plan accurately, avoid over- or undercapacity, and produce the right quantities to meet demand. This allows for better management of inventory and avoids capital tie-up in excess inventory.
• Simulation and scenario analysis: APS systems allow companies to simulate different planning scenarios. This allows planners to see how different factors (such as demand peaks, machine downtime or delivery problems) affect production. This helps in making informed decisions and risk management because companies can test different strategies before they are implemented.

In short, APS systems provide automated, efficient scheduling, real-time adjustments, better capacity and demand management, and in-depth analysis for an optimal production process.

The Role of Artificial Intelligence in APS

Artificial intelligence (AI) is a game-changer in the world of APS. Traditional planning systems often rely on historical data and established rules to make decisions. AI, on the other hand, brings a new dimension to planning by learning from both historical and real-time data and making predictions that take into account a wide range of variables.

1. Optimization of decisions: AI algorithms can simulate thousands of scheduling scenarios and choose the most optimal solution, taking into account various constraints such as cost, delivery times, and production capacity. This leads to more sophisticated and efficient planning than is possible with traditional methods.
2. Automation and self-learning systems: AI-based APS systems can independently learn from their environment and improve themselves. This means they become increasingly efficient over time, without the need for constant manual adjustments. These self-learning systems can detect schedule deviations and automatically suggest corrections, significantly reducing the chance of human error.
3. Predictive analytics: Related to APS is demand planning. This involves using AI to identify future demand patterns through predictive analytics. Production plans can be adjusted accordingly. This reduces the risk of shortages or overproduction and allows companies to react more quickly to market changes.

Conclusion

Advanced Planning & Scheduling (APS) is not just a tool, but an essential element in modern production management. It offers major advantages over traditional methods by enabling companies to optimize their production and supply chain processes. With the integration of AI, APS turns into a powerful tool that helps companies not only respond to change, but also proactively plan and optimize for future challenges. The result is a smarter, more efficient and more responsive manufacturing environment. Ready for the future!