Q: How do you schedule production planning to increase profit?
A: In the diagram of line-connecting orders production and purchases scheduling goes backward from delivery of accepted orders and the schedule line gets extremely short as it moves toward vertical. Not only that but the efficiency of bottleneck resources operation increase and the bottleneck resources for other processes becomes synchronized. That simultaneously:
・Minimizes lead-time
・Minimizes work-in-process inventories
・Minimizes product inventory
・Minimizes purchase inventory
・Minimizes delay in purchase timing
・Minimizes delivery delay
・Maximizes throughput
The "Map of a Virtuous Circle toward Increased Profits" shows that improvement in these factors contributes to an increase in profits.
This scheduling is achieved by actively using the planning parameters and planning commands of the Advanced Planning and Scheduling System.
Related article : Virtuous Circle Map for Increased Profits