TITLE: ORDER PROCESSING & PRODUCTION PLANNING

SCOPE

4.1.0 The following procedure details the method used by the company to ensure that production is planned effectively and efficiently.

PROCEDURE

Order Processing

4.1.1 The company issues a works order which is a five part order set and is known historically as the 'A' sheets.

4.1.2 Three copies of the 'A' Sheets (white, pink and yellow) are received from the Administration Department by the Production Controller for all orders to be processed.

4.1.3 Each order is recorded by the Production Controller onto the 'A' sheet register which is used to monitor the progress of the order and is updated as appropriate, as information becomes available.

4.1.4 The 'A' sheet register details the following information:-

a. 'A' sheet number.

b. Date 'A' sheet issued.

c. Bill of materials issued.

d. White copy returned.

e. Invoice month.

f. P.O.D. copy return.

g. Notes.

4.1.5 Each order is then logged onto the computer system in the production planning database. This information is used to produce management reports, order bank and manufacturing priorities by due-date spreadsheets, which are used to plan and control all manufacturing activities through the various departments.

4.1.6 Orders are categorised into three distinct types which are detailed as follows:-

a. BT/Factored/Spares products

b. Made to order products

c. Contracts (Set-out orders)

4.1.7 In the case of 'made to order' type products the Production Controller delays entering the details onto the computer production planning database until he has to accumulated a weeks orders. These orders are then segregated into product types with each type being allocated with a unique batch number and logged onto the computer under this number.

BT/Factored/Spares Orders

4.1.8 For all BT/factored/Spares orders the Stock Controller shall enter the stock control system and print off the computer a standard 'bill of materials' for each product to be supplied.

4.1.9 The bill of materials are then attached to the 'A' sheets and filed in the stores department to act as a picking list for the stores personnel. When all parts are available the 'A' sheets are forwarded to the Production Controller who will initiate the sub-assembly/assembly of the order.

4.1.10 The activity of generating the bill of materials also allocates the parts from the stock records.

Made to Order Products

4.1.11 For all made to order products ie.

· CPD Consortium Purchasing Division,

· CAT Catalogue Batch,

· Lancashire Benches,

· Library and,

· Play Panels

the 'A' sheets are forwarded to the Production Controller who will prepare a 'bill of materials' utilising the Woodman computer programme or by manual processes.

4.1.12 Upon completion of the bill of materials the Production Controller shall create an order file which is used to initiate and control the production activities. The order file shall contain the following documents:

· 'A' sheets

· Cutting sheets

· Identification cards

· Final inspection tickets

· Issue sheets

· Assembly and sub-assembly sheets

Contracts (Set outs)

4.1.13 For all contract orders the green copy 'A' sheet(s) are forwarded to the contracts department who will produce a 'bill of materials' utilising the Woodman computer programme or by a manual process. │

4.1.14 Where there is a requirement within a contract order for BT/Factored/Spares products then the relevant Contract Manager shall upon completion of the 'bill of materials' modify the green copy 'A' sheet(s) to include any BT/Factored/Spares products and signs and dates the amendment as verified.

4.1.15 A photocopy of the amended green copy 'A' sheet(s) are then returned to the Customer Service Manager/Sales Administrator who will update the order intake computer programme to include the amendments and re-print the 'A' sheets. Amended 'A' sheets will be identified by a suffix code 'A', the amendment issue and date and the details of the amendment. The new 'A' sheets are then distributed as per the original or by a manual process.

4.1.16 Upon completion of the bill of materials the Contract Manager shall create an order file which is placed into the factory tray and subsequently forwarded to the Production Control Department to initiate and control the production activities. The order file shall contain the following documents:

· Bill of materials (Control Dockets)

· Cutting sheets

· Final inspection tickets

· Assembly and sub-assembly sheets

· Assembly and sub-assembly drawings

· Identification cards

· Issue sheet

Bill of Materials

4.1.17 The 'bill of materials' is a multi-page document which lists all items to be used in manufacturing a product. Included are all relevant contract information, works order/batch number, date, page number and a breakdown of part descriptions, quantities, stock numbers, drawing numbers, purchase order numbers, etc.

Order Bank Spreadsheets

4.1.18 Order bank spreadsheets are printed off the production planning database as necessary to control the top level production planning of all orders and contains the following information:-

· Line number

· Delivery day

· Contract responsibility

· Fix start

· Product type/Batch number

· Fix finish

· Works order number

· Comments

· Contract title

· Value

· Liquidated damage

· Month to be manufactured

· Delivery area/Client date

· Actual delivery date

· Target date/Purchase

· order number

· Delivery date

· Status

· W/C date

4.1.19 The order bank spreadsheets are then printed as appropriate and distributed to the following personnel:

· Operations Director

· Stock Controller

· Production Manager

· Installation Manager

· Contract Managers

· BT Supervisor

· Production Controller

· Stock Controller

Manufacturing Priorities by Due-date Spreadsheet

4.1.20 The manufacturing priorities by due-date sheet is a spreadsheet printed off the production planning database by the Production Manager to control the production routing of made to order and contract type orders through all departments.

4.1.21 The manufacturing priorities by due-date sheet details the following information;

· Date

· Issued

· Works order number/batch number

· Departments

· Contract name

· Order value

· Due date

· Production

· Comments

· Order date

· Region

· Date deliver

Weekly Production Meetings

4.1.22 Each week, two production meetings are convened to facilitate the effective and efficient control of all production activities.

4.1.23 These meetings shall take place on a Monday and Tuesday mornings and shall cover the following order types:

Monday - Contracts (Set-outs), Made to Order Products, In-house Purchases

Tuesday - BT Products

4.1.24 In attendance at the meetings shall be the following personnel as appropriate:

· Operations Director

· Production Manager

· Contract Managers (Monday only)

· Production Controller

· Installation Manager (Monday only)

· BT Supervisor (Tuesday only)

· Stock Controller (Tuesday only)