Manufacturing, like any other sector, needs to be able to plan ahead as accurately as possible. Maximum asset Utilization, high Inventory turnover and an efficient supply chain to meet customer demand is critical to keep your business profitable.
Why should your firm invest all the time and effort in a thorough planning exercise? The simple answer is to both control and understand costs, as well as to ensure that the operations are standardized to support sales and to maintain adequate inventory across the supply chain. Typically, sales organization is separate from the operations thereby managing expectations and monitoring performance to be challenging. Collaboration not only brings visibility of the market realities to the shop floor, but also have the sales organization have a better visibility and understanding of the capacity constraints.
Planning in Manufacturing
Planning spans the entire spectrum of functions across your organization – right from Sales & Operations, Supply Chain [Demand, Supply and Inventory Planning], Human Resources and Assets [Capital and Fixed Assets]. Given the disparity of responsibilities, planning structures are diverse and more often than not unique to the manufacturing process and the market that the firm operates in. With budgets forming the yardstick to measure the performance for a period, central management of these planning structures becomes paramount.
- Revenue & Expense Planning
- Fixed Assets & Capex Planning
- Bill of Material Costing
- Indirect Cost Allocations
- Working Capital Management Planning
- Demand Planning
- Supply Planning & Optimization
- Inventory Planning & Optimization
- Long Term Capacity Planning
- Workforce Planning