1.- Operations planning concept
Operations planning explains that it is the production process that continues until reaching the final product, or, when referring to operations within a company, it refers to all the procedures and actions that help the company fulfill its main purpose and achieve the expected results.
For operations management “it is the set of activities that create value in the form of goods and services by transforming inputs into finished products. The activities that create goods and services are carried out in all organizations ”. Then, talking about Operations Planning is to refer to the design, implementation and monitoring of all the key processes of a company.
A necessary question would be why make an operations plan? The answer is simple: because a suitable plan will have a positive impact on the productivity of any company.
2.- Planning levels
Strategic Planning; which is the broadest of the organization.
Its main characteristics are:
- It is projected in the long term, with its effects and consequences foreseen for several years. The company as a whole encompasses all the resources and areas of activity and is concerned with setting the objectives at the organizational level. It is defined by the top of the organization and it corresponds to the larger plan, to which all themes are subordinate.
Tactical Planning: is the planning carried out at the department level.
Its main characteristics are:
- It is projected for the medium term, generally for the annual exercise. It covers each department, covers its specific resources and is concerned with achieving the objectives of the department. It is defined in each department of the company.
Operational Planning: this is carried out to carry out the tasks that make up the work routine.
Its main characteristics are:
- It is projected for the short term, generally for the immediate. It covers each task or activities in isolation and is concerned with achieving specific goals. It is defined for each task or activity.
Planning process
Planning being a process through which it is investigated where the company is heading, with what means, following the steps and how long; Its process begins with a meticulous inspection of the present events, the past and an estimate of the future, both of external and internal situations of the company, so that based on that information the antecedents and the different elements that should be considered, before of setting objectives as the second stage of the planning process.
3.- Plans, forecasts and objectives
Plans: Its objective is to record all the technical and organizational aspects that concern the development of the products or the provision of services included in the Business Plan.
Forecasts: An accurate forecast of production enables you to predict, plan and optimize production and recovery at your plant. In the long term, the knowledge and experience you gain from SGS forecasting applications enables you to manage production and ensure that your flowchart is adjusted to respond to variability in your ore.
Objectives: The main objectives of the production are:
a) Ensure that the products are delivered or the requested services are provided, both in the quantities and on the dates agreed for the customer. To deliver the products within the agreed deadlines, you must first calculate:
- What material and human resources are required How many resources are necessary.
b) Ensure that these products or services are manufactured or provided within the expected costs and that these costs are minimal, for greater business benefit.
4.- Management by objectives in production and operations
The objectives should be ranked according to an order of importance, relevance or priority, in a hierarchy of objectives, based on their relative contribution to the organization as a whole.
The hierarchy of objectives of an organization can undergo innumerable changes, either in the relative location of the objectives or in the situation of certain objectives for different ones.
Goals do not initially need to translate the great fundamental aspirations of the company. They must ensure that all organs and components of the company contribute a part of the overall effort.
They must take into account the need for various alternatives for their execution, they must be periodically re-examined and reformulated, not only to be updated in accordance with the change in market conditions.
5.- Operation programs and budget
It is the instrument intended to fulfill a function, by setting goals or objectives, whether these are quantifiable or not; and for whose realization both material, human and financial resources will be used; which will be previously paid for.
Its execution will be in charge of an executing agency of the same.
- Subprogram. It is a subdivision of a program, according to its specific function, and through partial goals. Activity. It is the realization of a goal or objective according to a program or within a subprogram; that is, the performance of certain jobs through the use of material, human, and financial resources to meet their goals. Task. Specific operation within a gradual process and through which a partial result is obtained.
The Organization's Program and Budget, which establishes the strategic objectives and expected results of the Organization's work, is approved every two years by the International Labor Conference.
The results and achievements of the ILO are financed through three main funding sources:
- the Regular Budget; the Supplementary Account of the Regular Budget; and the Extra-Budgetary Resources for Technical Cooperation.
The close integration of the different budget resources is essential for the ILO strategy to respond satisfactorily to the priorities of countries at the regional and global levels through results-based work plans.
Conclusions
Production planning helps us have a process to get to our final product.
The operation plan determines which is the optimal production function for the efficient and effective use of the available resources for the production of the good or service to be offered.
The operation planning can be divided into three levels, as mentioned in the strategic plan in which it is used in the area of resources and activities; Tactic, we will use it for the specific resources and objectives that are within the department; Operational, it is used for the daily routine of work in which it is concerned to achieve the proposed goals, it can be seen that the production planning has objectives and programs in which they will help to develop the finished products of the day in a timely manner, With this, it will be possible to have a better result, strategies to avoid losses in the company and to be able to obtain effective profits, every time it is required.
Sources
- Managing -Empresas_Blogspot. (2010). Obtained from http://gestionando-empresas.blogspot.mx/2010/11/plan-de-operaciones.html Frazier, NG (sf). Production and operations management. At NG Frazier, Production and Operations Management.
