BCom Notes Part II Management Advantages of Production Planning & Control

If you want to view other notes of this subject. Click Here.

If you want to view other notes of BCom Part II. Click Here. 

Advantages of Production Planning & Control

Describe the advantages of production planning & control? Advantages of Production Planning and Control

Production planning and control yields the following main advantages,

1. Avoidance of Rush Orders

Production is well planned and its time aspects are well controlled. Therefore, production control reduces the number of risk-orders and overtime work on plant.

2. Avoidance of Bottlenecks

The incomplete work does not get accumulated because production control maintains an even flow of work.

3. Cost Reduction

Production control programs minimizes the idleness of men and machines, keeps in process inventories at a satisfactory level, leads to a better control of raw materials inventory, reduces costs of storage and materials handling, helps in maintaining quality and containing rejection and thus reduces unit cost of production.

4. Effective Utilization of Resources

It reduces the loss of time by the workers waiting for materials and makes most effective use of equipment.

5. Co-Ordination

It serves to co-ordinate the activities of plant and results in a concerted effort by workmen.

6. Benefits to Workers

Adequate wages, stable employment, job Security, improved working conditions, increased personal satisfaction, high morale.

7. Efficient Service to Customers

It ensures better service to the customers by enabling production to be conducted in accordance with the time schedules and therefore deliveries are made on promised dates.