What is Production Plan?
Production Plan
A table that determines what to make, on which day, and how many.
What it means
The production plan divides the orders received by date and determines, “We will make this much of this on this day.” It may seem unnecessary when there is only one order, but when there are multiple orders, you cannot start without determining the order.
To make a plan, you need to know two things. How long each order must be sent (delivery date) and how much can be made per day (quantity that can be produced). The day section of the plan becomes the work instructions for that day.
At the pen factory
Three orders overlap on the 7th day. One assembly table can make 100 pens per day, so 300 pens is divided over three days. The blue ballpoint pen to be used for the launch event will be made first, and Saebom Trading orders will be sent out a day later.
Why it matters
Without a plan, the shop floor ends up making orders first, and urgent orders are delayed. With a plan, you can let your customers know ahead of time which orders will be late by showing them ahead of time.
How this differs from Work order
The production plan is “when and what” over several days, and the work order is “make this now” given on the shop floor.