It may be somewhat confusing, but the English terms “production planning” and “production scheduling” both translate to the word production planning in Dutch. Yet in practice, they mean slightly different things. Production planning is the process of developing a schedule to ensure that production activities run smoothly. We distinguish between the longer term (for example, the coming year), the upcoming period (for example, the next two weeks) and the short term (today and the coming days). Production scheduling refers to the latter form of planning.
In production scheduling, we look at the sequence of production tasks at a detailed level. It is a more operational step within the broader framework of production scheduling. In production scheduling, specific production orders or tasks are assigned to available resources, such as machines, labor and raw materials, within a specific time frame. The goal is to ensure efficient and streamlined production, taking into account factors such as production lead time, equipment capacity constraints and personnel availability.
Production scheduling thus focuses on determining the exact timing and sequence of production operations to ensure that products are produced on time and meet demand, while at the same time optimizing the resources used.
Production planning and production scheduling thus differ in their focus and time frame:
In short, production planning is about setting long-term goals and strategies, while production scheduling focuses on the day-to-day management of production activities to ensure efficient execution of the plan.
In production scheduling, you must consider several factors to create an efficient and effective schedule. Some important factors are:
Enterprise Resource Planning (ERP) systems are designed to integrate and streamline various business processes, including production scheduling. While ERP systems are useful for managing various aspects of production, they have some limitations when it comes to detailed production scheduling. We list below some of the reasons why ERP systems are not always ideal for production scheduling:
ERP systems may thus be inadequate for detailed production scheduling. In such cases, organizations may choose to use additional specialized production scheduling software to meet their specific needs. The Data Refinery Planning System is one such example.
Artificial intelligence (AI) offers many opportunities for improving daily production planning. Some of the ways AI can contribute to production planning are:
AI can thus play a valuable role in improving production planning by enabling faster and more accurate decisions, increasing efficiency and reducing costs in dynamic and complex manufacturing environments.
Because ERP lacks the flexibility for production scheduling, we see a lot of production scheduling in Excel. And yes, it is possible to do simple production scheduling in Excel, especially for smaller production environments with less complex needs. For example, you can create Gantt charts to visually represent the timing and sequence of production tasks, and use basic formulas to calculate schedules.
However, using Excel for production scheduling has some significant drawbacks:
Thus, while Excel can be a useful tool for simple production scheduling, its limitations canbe problematic in more complex production environments. For organizations with larger scale and complex scheduling requirements, the use of specialized production scheduling software may offer more benefits.
Modern production scheduling software aims to provide optimal planning. Using the possibilities of AI and without the disadvantages of your ERP system and Excel. Production scheduling software is used to automatically plan and manage the timing and sequence of production tasks within a manufacturing environment. It enables your company to make more efficient use of resources, such as machines, labor and raw materials, by optimizing and adapting complex production schedules to changing conditions.
This software often offers features such as visual scheduling, capacity planning, real-time updates, and scenario analysis to help planners make informed decisions and maximize the productivity and profitability of their production operations. Check out the production scheduling capabilities of the Data Refinery Planning System.
Want to learn more about the Planwisely APS system? Download the factsheet with more information.
And get a sense of how Production Planning and Demand Forecasting tools work in practice.