5 common PPCP errors: find out how to avoid them and increase their efficiency

Production planning, programming and control (PPCP) is a cornerstone in the effective management of the operations of any manufacturing company. It is an intricate process that encompasses a series of vital activities, from the forecast of demand to the monitoring of production in real time. However, even with the growing sophistication of available tools and technologies, common PPCP errors still persist and can significantly impair operational efficiency, customer satisfaction and financial results. In this article, we will explore some of the most frequently made mistakes in PPCP and examine practical strategies to avoid them.
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PPCP only sees the stock present in each sector that will program each sector just see what it has "in its stock" to program
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When the programming of each sector is only concentrated on what is available on their immediate stock, unless you have a stock in the huge sector (which by itself), there will certainly be a lack of synchronization between the smaller sectors use of manufacturing resources. This is because it is not possible to see all the future availability that the sector will have of materials, which could generate insights for schedules that add similar items or reduce waiting times as they synchronize the sectors from a more holistic and integrated view. This means that production can be interrupted or delayed because an industry cannot see the need for another sector and therefore does not make the necessary requests or schedules. Thus, by setting only on the stock based on the moment available, lead times (crossing time waiting) for the production of items can be significantly higher than necessary, thus generating more stocks in the process (WIP) yet. After all, this problem can result in delays in product delivery to customers.
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Calculate Days on Hand Based on the average historical demand instead of looking at how many days covers in Futura demand
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Calculate the Days on Hand, which refers to the number of days the current stock can cover demand, based on the average historical demand, rather than considering future demand, can lead to some negatively significant implications. By based only on the average historical demand, you can risk maintaining stock levels that do not meet the real needs of the company. This is because demands can float over time due to seasonality, market trends, changes in customer buying standards and other factors that are not reflected in the historical average. In this case, we see companies calculating the days that are covered based on an average, but without considering the existing portfolio or a projection of trend or seasonality. If we have all the signs that demand will have a certain behavior, or more, we already have a firm request for orders, there is no reason to consider this information by calculating your stock coverage to have a correct view of the scenario. Consider a clothing store that sells winter and summer clothes. The purchasing manager decides to calculate the Days on Hand for winter coats based on the average historical demand of recent years. This average indicates that the demand for winter coats is usually lower during summer. However, that year, an unexpected cold wave hits the region during the summer, and the demand for winter coats fires. As a result, the store does not have enough stock to meet the unexpected demand. Not taking into account future demand can take to scenarios where Stock is insufficient to serve sudden demand peaks, resulting in the lack of products in the market and loss of sales.
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Open intermediate product order with the date of the finished
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In many manufacturing processes, a final product is mounted from various intermediate products that, in turn, can be composed of other by -products. APS or MRP needs to coordinate the production of these different levels, ensuring that intermediate products are ready on the date required to assemble the final product. That is, it is necessary to establish partial deliveries for some semi -finals, and we still see companies without this distinction, which makes all semi -finished and finished have their productions sought for the same period. The main objective is to ensure that the final product is completed on the date required by the customer. This requires synchronization of all production steps, from component manufacturing to final assembly to avoid delays in delivery.

Look capacity in kg, meters or unit and not hours
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When you measure capacity only in physical units such as kg or meters, you do not take into account the product mix that a factory needs to produce. Some products may be more complex, time consuming and demand more resources than others. Ignoring this variability can lead to problems with resource allocation and compliance with delivery times. In addition, production management should seek to optimize the efficiency of the process, and this often involves effective use of time. Ignoring the temporal dimension can lead to situations in which a machine or labor remains inactive for long periods due to an inadequate allocation of tasks. A broader approach that takes into account both physical capacity and temporal dimension is often necessary for effective production management, balancing efficiency, costs and delivery deadlines. This is often achieved through business planning systems (ERP) and proper production programming strategies.
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Charging production per volume produced, operator chooses what is easier to do instead of the most important 
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Charging production based exclusively on the volume produced, without considering other criteria of quality or importance, can lead to a set of problems known as "dilution effect" or "dilution of metrics". This happens when operators are encouraged to choose easier tasks to accomplish to the most important, because it allows them to achieve production goals with less effort. Thus, operators can neglect the quality of work, as their main objective is to increase production. This can result in low quality products or services that do not meet established standards. The five mistakes discussed reveal common traps that organizations may face, from lack of synchronization between sectors to inadequate capacity measurement and exclusive emphasis on the volume produced. Avoiding these errors and adopting more comprehensive and oriented strategies is essential to maintaining efficient production that meets market demands and achieving operational excellence. Did you like the content? Then you will also be interested in our ebook about 6 key elements in production planning .
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