Page 4 Computer System Flowchart of Production Planning

1. Page 4Computer System Flowchart of Production Planning Gavin Houn Kelsey Peng Paninee Manatsathit Delphinus Chow

2. Section 1 It is a special ordering process. Engineer designs and send the specifications for special sales orders to a production planning department. A production planning clerk enters data into a system online. Then, two files, Product specification file and operations (routing) file would be updated before sending to the next process which is prepare production and materials needs.

3. Section 2 It is a routine ordering process. This process is going along with a special ordering process (#1). Sales forecasts and back-order report are important process in order to determine the production needs by each product. From that, the production requirement by product document is created. The data is entered into the computer system at the end of each day. Definitions Sale forecasts: it is a forecast for the sales of next period based on the sales of the previous period. Often used in a JIT (Just-in-time) method of inventory Back-Order report: a document which summarizes all back order authorizing the purchase or production of items for which sufficient quantity is not available to meet customer orders

4. Section3 The next process is to prepare production and materials needs which use the data from step 1&2. There are 4 files involve in this process, which are: 1. Raw materials inventory file – indicates availability of each raw material in stock 2. Machine loading file – indicates availability of the machines in the factory. 3. Open production orders file – 4. Production schedule file – indicates how much and when each product would be produce. System then produces necessary documents for production.

5. Section 4 Bills of materials, Operations lists, and Sales order document are sent to customer as acknowledgement. Bills of materials: A bill of material is a formally structured list for an object (semi-finished or finished product) which lists all the component parts of the object with the name, reference number, quantity, and unit of measure of each component Operations list: a document that specifies the labor and machine requirements needed to manufacture the product. Also referred to as a routing sheet, because it indicates how a product moves through the factory, specifying what is done at each step, and how much time each operation should take. Sales order: the document created during sales order entry, listing the item numbers, quantities, prices, and terms of the sales

6. Section 5 Production order, Move ticket, and Materials issue cards are sent to production operations. Production order: a document authorizing the manufacture of a specified quantity of a particular product. It lists the operations to be performed, the quantity to be produced, and the location to which the finished product is to be delivered. Move tickets: Documents that identify the internal transfer of inventory, the location to which they are transferred, and the time of the transfer Materials Issue Card: Distribution of materials necessary for production

7. Section 6 Revised production schedule is sent to production work centers. Production schedule: it specifies how much of each product is to be produced during the planning period and when that production should occur.

8. Section 7 Material requirements reports are sent to purchasing processing. Materials Requirements Report: Report requesting the required materials to be purchased for production.

9. Back up master files Approval of Production needs Copies of documents produced Batch documents Passwords on master files Type Box: Format Completion Accuracy check Internal Controls