A New Framework for Production Planning and Control to Support the Positioning in Fields of Tension Created by Opposing Logistic Objectives

Abstract

This paper presents an approach for modelling the connection between the tasks of production planning and control (PPC) and a supply chain’s logistic objectives. Therefore a new production planning and control framework is developed. First of all, the tasks of production planning and control are described universally valid. A representation of a company’s internal supply chain with five core processes complements the framework. For each core process, a system of logistic objectives is set up. The interdependencies between the variables presented in the systems are depicted. Existing fields of tensions between opposing logistic objectives are emphasized. For calculating values for PPC parameters and beyond that for positioning a production within the indicated fields of tension, existing quantitative logistic models are located in the framework. To clarify the overall approach the model-based calculation of lot sizes for production is presented exemplarily.