Question
5: I do have a system in place to ensure timely production
of export orders.
I do have a system
in place to ensure timely production of export orders.
Timely production of export orders will first depend on your production capacity
and the efficiency of your distribution/delivery divisions. If you do not have
the means to increase your existing capacity, or you cannot deliver on time then
you cannot hope to meet the demands of your international buyers.
Timely production of the quantities needed would also require careful planning.
A series of forecasts would need to be made:
The first forecast must be sales.
The second forecast should be production.
You must then use the production forecast to calculate then needs input. This
would then give you your supply forecast.
You would not have an estimate of sales, a worksheet of production and an idea
of how much of which input would be required for product and when.
When orders are received, more detailed day-to-day planning is required. The
systems and procedures must be built to set into action the production activities.
This is called allocating work and is basically a communication task. It involves
the issuing of "orders". There are four such "orders"
Manufacturing: based on the sales order, the sales division would forward a manufacturing
order to production
Materials: production would calculate the input needs and costs required to produce
the order
Operations: production would calculate the need for operations and labour
Resource: production asks finance for resources and cross checks its estimates,
taking into account exchange rates and finance charges if applicable.
The production job needs to be "routed" through the various work centres
in the factory. Prioritise the sequence of specific jobs, in order to meet specific
delivery demands
Detailed scheduling of an order determines the starting times, completion times
and work assignments for all jobs at each work centre. The following actives
requires careful planning:
Packing, marking and labelling the goods
Inspecting the goods prior to shipment
Placing the goods into a final shipper (container 6 or 12 metre) for international
transportation and the preparation of shipping schedules and documentation, completes
the requirements for "timely production"
