As part of enterprise management, Advanced Planning and Scheduling is a process of production planning taking into account optimal use of resources and capacities achieve business objectives.
Optimization in building a production schedule is possible thanks to software combining a user-friendly interface for production utilization management and embedded algorithms that calculate an optimal schedule taking into account the defined optimization parameters and limitations.
Advantages of planning using APS systems are more valuable for production companies having complex process chains, wide ranges of products, several production sites and the need to build an accurate and feasible plan in the conditions of variable demand and high utilization of own production capacities.
Advantages APS integration for business
- Increased flexibility and promptness of response to client requests thanks to the planning process speed;
- Optimal utilization of production capacities taking into account bottlenecks in complex process chains;
- Increased performance by reducing downtime and equipment re-debugging;
- Accurate and adaptive calculation of personnel demand on production lines taking into account the production plan;
- Ensuring alignment between planning of sales, production and procurement;
- Increased transparency of the planning system for all stakeholders due to clear indication of production capacities and their actual utilization;
- Flexible configuration of production plan optimization parameters depending on business specifics and goals;
- Reduced labor expenses and human error risks during planning;
- Improved support of decision-making and joint operation of work team due to transparency of updated production plans and schedules;
- Scenario-based analysis functionality gives an accurate insight into whether it is possible to place more production orders;
- Reduced stock of raw materials and amount of work in progress (AWP) due to synchronization of production processes and demand in raw materials taking into account the sequence of operations, processing time and availability of production capacities.
Profits for key stakeholders
- Increased transparency and accountability of the planning process;
- Configurable parameters of production plan optimization depending on goals and key performance indicators;
- Automated and standardized process reduces risks related with rotation of planning department personnel;
- Ensuring supplies in due time while minimizing the time of order fulfillment, volumes of works in progress, and warehouse stock.
Sales and customer support department
- Capability of promptly and individually getting up-to-date information on planned readiness dates of orders;
- Capability of giving a realistic response to possible readiness dates of new potential orders using a scenario-based analysis.
Production planning department
- Automated software solution saves time for production plan development and reduces labor expenses for scenario-based analysis, decision-making and plan modification;
- Convenient user interface combines tabular data representation and Gantt charts;
- APS is configured as an enterprise model and all information that required memorizing, calculation and specification as part of planning is now contained in system parameters.
- A clear production plan is a prerequisite for correct prediction of shipments and respective prediction of cash flows;
- Efficient use of resources in production will reduce expenses.
- Full transparency of production demand in raw and other materials;
- Planning of an aggregated demand in procurement and prompt distribution of resources between production sites;
- Reduced warehouse and logistic expenses due to calendar prediction of demand in raw and other materials;
IT and data management department
- APS software integration with ERP system;
- System data storage in own server or cloud;
- Configuration of automated reporting based on APS-system databases.
Using APS planning system has three primary aspects of positive changes:
- Automation of the production planning process, reduction of labor expenses and risks related with human factor.
- Contribution into the support of integrated business-planning processes and S&OP by improving alignment between processes of sale, production, and procurement of raw and other materials.
- Mathematic models within software products allow for maximum prediction efficiency under the defined parameters configured depending on business requirements and specifics.
30% reduction of time for client servicing and increased timeliness of delivery
50% reduction of planning time. Optimization of sales, planning, and operations
20% reduction of warehouse stock, increased plant efficiency and reduced labor expenses