INDUSTRIAL ENGINEERING & MANAGEMENT

7TH SEMESTER B.TECH

Mechanical Engineering Department,
Jorhat Engineering College
under

ASSAM SCIENCE AND TECHNOLOGY UNIVERSITY (ASTU)

COURSE CREDIT & LTP
COURSE OUTCOME
Syllabus
MODULE 1: Introduction to Organization 2 Lectures

Definition of organization, organizational structure, types of organization, span of control, delegation of

authority and responsibility.
MODULE 2:Plant Location and Layout (4 Lectures)

Objectives, Locational factors, Economics of plant location; Meaning, objectives and types of plant
layout and their relevance to mass, batch and job - order production systems

 .
 MODULE 3: Network Analysis(6 Lectures)
 Objectives, Network development technique, Network computations –Critical Path and its significance,
Earliest and Latest dates, calculation of float. Deterministic and probabilistic network models,
Assumptions and computations related to PERT model, Crashing of jobs for minimum cost-time
schedule for CPM models.
 MODULE 4:Work Study(6 Lectures)Meaning and scope, subdivisions of work study –Method/Motion study
and Work Measurement; Method/Motion study-its meaning and scope, steps in method/motion study, Tools
and techniques of method/motion study, Principles of motion economy; Micro-motion study –Meaning
and scope, therbligs, use of motion camera in micro-motion study; Work measurement –concept of
observed time, rating factor, average worker and standard time for jobs. Use of stop watch and work
sampling techniques in the determination of standard time.
 MODULE 5:Product Design and Development(6 Lectures)
 Meaning of product, Product life cycle (PLC) and Product mix; Decisions to be taken during
product development and design, Procedure for product development and design, Value
of a product –its meaning, Value Analysis
 MODULE 6:Production Planning and Inventory Control(6 Lectures)
 Meaning and Objectives, Effects of types of production, steps in Production Planning and
Control, Use of Gantt chart, Machine Scheduling Problems, Make/Buy decision and
Break-even analysis and Inventory Control: EOQ Model, ABC, VED, FSN analysis.
IMP- Make/Buy decision, EOQ Model,
ABC analysis.

 Solve the numerical@ classroom only for

Make/Buy decision, EOQ Model, ABC analysis
 MODULE 7:Maintenance Management(6 Lectures)
 Meaning and Types of maintenance, and their suitability, Standards of maintenance, Total Productive
Maintenance (TPM).
 MODULE 8: Quality and Quality Control Engineering(6 Lectures)Meaning of Quality, Inspection, Quality
Control, Process Control, Control Charts, Acceptance Sampling, Total Quality Management Philosophy.
 Textbooks/ Reference Books:
 1.Industrial Engineering and Management -O P Khanna.
2. Industrial Engineering –M Telsang
 3. Essentials of Management –Koontz O’ Donnel
 4. Industrial engineering –M Mahajan
 5. Operations Management –Panneerselvam
 6. Motion and Time study –R M Barnes
 7. Network and project management –Punmia
 8. Total Quality Management –Besterfield et.al.
MODULE 6:Production Planning and Inventory Control

 Production Planning is the administrative process that

takes place within a manufacturing business and
which involves making sure that sufficient raw materials,
staff and other necessary items are procured and ready
to create finished products according to the schedule
specified.
Objectives of Production Planning and
Control

 The main objective of production planning and control is

to ensure the coordinated flow of work so that the required
number of products are manufactured in the required
quantity and of required quality at the required time at
optimum efficiency. In other words, production planning
and control aims at the following purposes:
• Continuous Flow of Production: It tries to achieve as smooth and continuous
production by eliminating successfully all sorts of bottlenecks in the process of
production through well-planned routing and scheduling requirements relating to
production work.
• Planned Requirements of Resources: It seeks to ensure the availability of all
the inputs i.e. materials, machines, tools, equipment and manpower in the
required quantity, of the required quality and at the required time so that desired
targets of production may be achieved.
• Co-ordinated work Schedules: The production activities planned and carried
out in a manufacturing organization as per the master schedule. The production
planning and control tries to ensure that the schedules to be issued to the various
departments/units/supervisors are in co-ordination with the master schedule.
 There are two components that form the PPC System which are;

• Production Planning
• Production Control
What is Production Planning?

 Production planning is an activity that is performed

 Before the actual production process takes place.

 It involves determining the schedule of production,
 Sequence of operations,
 Economic batch quantities, and
 Dispatching priorities for sequencing of jobs.
What is Production Control?
Production control is the business of monitoring and controlling any production activity. Production control
activity is mostly conducted with the help of a specific control room or operations room within a production
plant. Inventory control, quality control, and production control are essential for successful operations
management.

Once the production plan is implemented, the production control phase comes. The aim of production control is
to keep the processes under check. Therefore, it employs several control methods that enable the production
unit to achieve the optimum level of performance that an organization desires.

The main functions of production control are

Dispatching
Follow Up
Inspection
Correction
• Optimum Inventory: It aims at minimum investment in inventories consistent with continuous flow of
production.
• Increased Productivity: It aims at increased productivity by increasing efficiency and by being
economical. This is achieved by optimizing the use of productive resources and eliminating wastage and
spoilage.
• Customer Satisfaction : It also aims at satisfying customers requirements by producing the items as per the
specifications or desires of the customers. It seeks to ensure delivery of products on time by co- ordinating
the production operations with customers’ orders.
• Production and Employment Stabilization: Production planning and control aims at ensuring production
and employment levels that are relatively stable and consistent with the quantity of sales.
• Evaluation of Performance: The process of production planning and control is expected to keep a constant
check on operations by judging the performance of various individuals and workshops and taking suitable
corrective measures if there is any deviation between planned and actual operations.
• Better Service to Customers: Production planning and control, through proper scheduling and expediting of work, helps in providing
better services to customers is terms of better quality of goods at reasonable prices as per promised delivery dates. Delivery in time
and proper quality, both help in winning the confidence of customers, improving relations with customers and promoting profitable
repeat orders.
• Fewer Rush Orders : In an organization, where there is effective system of production planning and control, production, operations
move smoothly as per original planning and matching with the promised delivery dates. Consequently, there will be fewer rush orders
in the plant and less overtime than, in the same industry, without adequate production planning and control.
• Better Control of Inventory : A sound system of production planning and control helps in maintaining inventory at proper levels and,
thereby, minimizing investment in inventory. It requires lower inventory of work-in-progress and less finished stock to give efficient
service to customers. It also helps in exercising better control over raw-material inventory, which contributes to more effective
purchasing.
• More Effective Use of Equipment : An efficient system of production planning and control makes for the
most effective use of equipment. It provides information to the management on regular basis pertaining to the
present position of all orders in process, equipment and personnel requirements for next few weeks. The
workers can be communicated well in advance if any retrenchment, lay-offs, transfer, etc. is likely to come
about. Also, unnecessary purchases of equipment and materials can be avoided. Thus, it is possible to
ensure proper utilization of equipment and other resources.
• Reduced Idle Time : Production planning and control helps in reducing idle time i.e. loss of time by workers
waiting for materials and other facilities; because ensures that materials and other facilities are available to the
workers in time as per the production schedule. Consequently, less man-hours are lost, which has a positive
impact on the cost of production.
• Improved Plant Morale : An effective system of production planning and control co-ordinates the activities of
all the departments involved in the production activity. It ensures even flow of work and avoids rush orders. It
maintains healthy working conditions in the plant thus, there is improve plant morale as a by-
product.
• Good public image: A proper system of production planning and control is
helpful in keeping systematized operations in an organization. Such an
organization is in a position to meet its orders in time to the satisfaction of its
customers. Customers satisfaction leads to increased sales, increased profits,
industrial harmony and ultimately good public image of the enterprise .
• Lower capital requirements: Under a sound system of production planning
and control, everything relating to production is planned well in advance of
operations. Where, when and what is required in the form of input is known
before the actual production process starts. Inputs are made available as per
schedule which ensures even flow of production without any bottlenecks.
Facilities are used more effectively and inventory levels are kept as per
schedule neither more nor less. Thus, production planning and control helps,
in minimizing capital investment in equipment and inventories.
PPC in 5 steps
 STEP 1
 Forecast the demand of your product
 Estimate your demand, so that you know how many products you need to produce during a
specific time period. You may have already some confirmed orders for the next couple of
month, but on top of that, you need to predict how many more may come.
 Different methods exist to forecast your product demand. A traditional technique to estimate
product demand is based on historical information (e.g. orders placed by your customers in
the past). While this is a very common method, you need to consider external and internal
events in your business environment that could alter past patterns. For example, new market
trends, a slowdown in the economy, or a new marketing campaign that could increase or
decrease your product demand compared to what happened in the past.
 STEP 2

 Determine potential options for production

 Determine the different production options available to meet the forecasted demand of your product. For
example, if you want to produce 100 shirts, you need to use a certain number of machines, human
resources, materials, and time. Different combinations of these inputs can lead to different production
times and costs.
 a. Start by mapping all the steps of your production process.
 When doing so, take into account if tasks are sequenced or dependent on other tasks, or if they happen
simultaneously or independently. Below is an example of how a simple process-mapping flowchart could look.
Each box represents a task of your production process. The map of the production process will be different and
unique to each company. Think about how to improve process flow by eliminating bottlenecks.
 b. Determine the resources needed to complete each task involved in your production
process.

 Look at how different combination of resources lead to different production times and costs:
• Human Resources. Determine the number of staff that will be involved in each phase of
the production process, their availability, and the cost. Make sure their time is well
utilized.
• Machinery and Equipment. Identify the machines needed and their availability,
including any maintenance or replacement that may be needed.
• Materials. Make a list of all the materials needed for production and how you obtain
them. Assess the reliability of your suppliers, including delivery time. Having materials
available when needed is crucial for the production process.
• Inventory. It is important that you consider how to optimize your inventory. Keeping a
large inventory is expensive, but keeping a low inventory is risky if demand fluctuates on
a regular basis. Having a good inventory control system in place can help your firm
accommodate variations in demand and mitigate possible problems or delays that may
occur during the production process. For more information about how to manage your
inventory, check out the video.
 STEP 3
 Choose the option for production that uses the combination of resources more effectively
 Compare the cost and time of each potential production option and choose the option that uses the most
efficient combination of resources and that allows you to meet product demand. The chosen option
should maximize the operational capacity of your firm.
 Always make sure you can cover the costs involved in the production process (purchase of materials,
office rent, payment of staff salary, leasing, etc.)
 You need to share your production plan with all the departments and staff that contribute or interact with
the production process, including human resources, procurement, finances, marketing, etc. If everybody
knows what to do, and what materials and equipment should be used for each task of the production
process, operations will be smoother.
STEP 4.

 Monitor and control

 You want to ensure that your plan is working in the way it is
intended. Monitoring and controlling is about comparing what is
happening with what should be happening. Having a control
system in place helps you detect problems as soon as they occur,
allowing you more time to correct before it is too late.
STEP 5

 Adjust
 Be prepared to adjust the plan if needed. The production plan needs to be
flexible to accommodate changes in customers’ demand (e.g. an important
order that gets cancelled). Also, you need to take into account possible risks
that may arise during the production process (e.g. a machine breaks, a worker
gets sick or a supplier does not deliver on time) and have a risk mitigation plan.
Production Planning and Inventory Control -Phases
Production Planning and Inventory Control
Production Planning and Inventory Control
Production Planning and Inventory Control
Examples.

Production Planning and Inventory Control

Intermittent production-Types

c) Batch Production
D) Job lot /order production
Characteristics of A) Mass & Flow line production

 Large Scale
 Specialized m/c & Process
 eg- screws, plastic product,But m/cycle, Tv sets under flow
production and produced under continuous stage from process
to process. here-continuous & steady flow of material.
Production Planning and Inventory
Control
Production Planning and Inventory Control
Intermittent production- Batch Production
Production Planning and Inventory Control
Intermittent production- Job order Production
.

End of Slides