Espacios. Vol. 36 (Nº 08) Año 2015. Pág. 16

The extent of use of PPC tools in Sintex-affiliated textile companies of Blumenau

El nivel de utilización de las herramientas de PCP en las empresas textiles de Blumenau asociadas al Sintex

Mauricio Johnny LOOS 1; Carlos M. Taboada RODRIGUEZ 2; Neimar FOLLMANN 3

Recibido: 17/12/14 • Aprobado: 26/02/2015


Contenido

1. Introduction

2. Theoretical Framework

3. Research Methods and Procedures

4. Analysis of the Data Collected

5. Conclusions

References


RESUMO:
In the industries of today, raw materials conversion processes are in a constant state of change, reflecting the widespread goal of improving goods manufacturing. This requires that production planning and control systems be organized to meet emerging needs and strive for greater improvements, which ultimately result in the acquisition of new technology that translates into increased productivity and the reduction of costs. As such, the present work seeks to examine the extent of use of PPC (Production Planning and Control) tools in textile companies located in Blumenau that are members of Sintex (Blumenau Association of Textile Companies). The study adopts exploratory research as its methodological approach, for which data was collected by way of a questionnaire. These findings are presented and analyzed in unison. The chief contributions of this work are a theoretical foundation in regards to the topic and a series of actions to be taken towards improving Production Planning and Control Systems in Sintex-affiliated textile companies of Blumenau.
Keywords: PPC; Production Management; Textile Companies.

RESUMEN:
En la actualidad, los procesos de transformación de materias primas se encuentran en cambios constantes, visando perfeccionar la manera de manufacturar los bienes. Esto exige que el sistema de planeamiento y control de la producción esté organizado para atender a nuevas necesidades y busque mayores ganancias, cuales consecuentemente resultarán en la obtención de nuevas tecnologías que serán reflejadas en productos de elevada calidad, posibilitando mayor productividad y reducción de costos. En este contexto, este estudio tiene por objetivo verificar el nivel de utilización de las herramientas de PCP (Planeamiento y Control de Producción) en las empresas textiles de Blumenau asociadas al Sintex – Sindicato de Industrias Textiles de Blumenau. El trabajo adopta la investigación exploratoria como su abordaje metodológico, cuyas evidencias fueron colectadas por medio de la aplicación de un cuestionario. Los datos obtenidos son presentados y analizados en conjunto. Esta investigación aporta un referencial teórico sobre el asunto y como indicación de acciones a ser tomadas para la obtención de mejoras a los Sistemas de Planeamiento y Control de la Producción de las empresas textiles de Blumenau asociadas al Sintex.
Palabras clave: PCP; Administración de la Producción; Empresas Textiles.

1. Introduction

Companies are situated in a turbulent environment, one of ever-tighter competition and increasing customer demands, which requires that they be ready to rise to the occasion and not allow their competitors to take the lead, while also implying that they take on a great deal of responsibility. In a globalized and highly competitive world, given the innumerable potential avenues for the investment of resources, companies must allocate their assets with a priority in the business activities or processes of critical importance, which is to say that investments must be made in agreement with corresponding degrees of precedence and necessity (FERNANDES and SANTORO, 2005).

Given these circumstances, the objective of this work is to examine the extent to which textile companies located in Blumenau that are members of the Sintex association employ PPC tools. The study seeks to answer the question of how these companies organize themselves in relation to the management of their production processes, analyzing the ways in which PPC influences the same within the textile companies of Blumenau that are members of Sintex. 

Research was carried out in the textile industry, which is supported by the fact that this sector is in constant development and comprises a large share of the Brazilian economy, accounting for 3.5% of the total GDP (ABIT, 2010). The study takes an exploratory research methodological approach, while for the purpose of data collection a questionnaire was employed. To achieve its objectives, the study first establishes the theoretical framework that grounds it, followed by the methods and procedures applied throughout the research process, the empirical results collected, and finally, its conclusions.

Following, a brief theoretical foundation regarding PPC is presented, serving to establish an overview of existing related academic literature. Following that, analyses that assess the results obtained in the field vis-à-vis the theories in place are provided.

2.1 PPC – Production Planning and Control

PPC is charged with the coordination and implementation of productive resources in a manner that best meets the plans set at the strategic, tactical, and operational levels (TUBINO, 1997). As according to Burbidge (1988), the PPC system operates alongside administrative functions in a business setting, spanning from planning and management to supply-chain control and production line activities, with the goal of having specific products be manufactured by specific methods to meet the pre-established sales plan.

Martins and Laugeni (2005) state that manufacturing strategy is a set of decisions that aims to achieve a level of performance set by competitive criteria in congruence with the company´s objectives.

The PPC system is an information system that overlaps with manufacturing strategy, and operational and tactical decision-making support, centered on the following issues (CÔRREA, 2001):

  1. Make vs. buy;
  2. Quantity made vs. quantity bought;
  3. Make when and buy when;
  4. Resources used to make.

Resulting from observation and analysis of ten cases, Fernandes and Santoro (2005) determined that the principal factors influencing the degree of prioritization that should be placed on PPC are the following: the level of competition in the industry; the manner in which demand is met (producing for inventory or on a built-to-order basis); the products´ complexity and structure; the complication of technological or organizational restrictions, and the variety of finished goods (FERNANDES e SANTORO, 2005).

A direct relation between the degree of prioritization placed on PPC and the quantity of human and information management resources allocated to it exists: along with a greater degree of prioritization, a greater amount of resources will be invested (FERNANDES and SANTORO, 2005). A common illustration of PPC includes the following components (BOONEY, 2000): a planning hierarchy that displays highly-detailed depictions of what is meant to be produced and briefings on its manufacturing floor plans; communication that allows such designs to reach the appropriate individuals within a proper timeframe; and feedback that adequately provides concise information on performance to floor managers.

MacCarthy and Fernandes (2000) state that the selection of a PPC system and its complexity and level of detail depend on 12 production-system variables: level of repetition, company size, response time, level of automation, product structure, level of customization, number of products, types of layout, types of buffer inventory, types of assembly and types of work organization.

3. Research Methods and Procedures

For the purpose of collecting data on PPC processes, identifying which tools are used, and how, so as to gain perspective on the decision-making process as well as the PPC objectives in place, a questionnaire was sent to twenty-three textile companies located in Blumenau that are members of Sintex – the Blumenau Association of Textile Companies.

Research was carried out within the context of PPC of these companies. Initially, questionnaires were sent via email to the individuals in charge of PPC procedures. Following this, telephone contact with the same was maintained, serving as follow-up to the responses provided. Of the twenty-three companies that received the questionnaire, response was obtained from nine, equally 39.1% of the total. It can be stated that the rate of response to the research questionnaire was not greater due to the ample nature of the questionnaire (88 questions in total, soliciting both descriptive and objective responses), as well as to the perception of a possible exposure to risk that impeded the companies from disclosing inside information.

The results collected from the questionnaires are shown in the following section, in which analysis of the information obtained will be carried out, divided in respects to the segments of questions in the questionnaire, which are the following: basic information on the companies, overview of company PPC, long-term PPC activities, mid-term PPC activities, short-term PPC activities, and other PPC-related information. Subsequent to a clarification of each of these segments, a cross-analysis of the companies will be illustrated in which the principal similarities and disparities between the PPC systems of the study participants will be carried out, along with comments and remarks on those companies.

4. Analysis of the Data Collected

Following, the data obtained from within the companies will be presented, for the purpose of a later analysis on the information gathered from their responses to the questionnaire.

4.1 Overview of the Companies

As shown in Table 1, the amount of time that the companies participating in the study have been in the industry is varied, ranging from 10 to over 100 years, with the largest portion of the sample falling into the latter category.

Table 1 – Time in Operation in the Industry (in years)

Time

Number of Companies

Percentage of Total

From 10 to 25

2

22.2%

From 26 to 50

1

11.1%

From 51 to 70

1

11.1%

From 71 to 95

2

22.2%

Over 95

3

33.3%

Total

9

100.0%

Source: Questionnaire sent to companies (2014)

In relation to the number of employees, Table 2 shows that the largest share of the total of companies in question (34%) currently employs between 501 and 2000 people.

Table 2 – Current number of company employees

Number of Employees

Number of Companies

Percentage of Total

Up to 500

2

22.2%

From 501 to 2000

3

33.3%

From 2001 to 3500

2

22.2%

From 3501 to 5000

1

11.1%

No response provided

1

11.1%

Total

9

100.0%

Source: Questionnaire sent to the companies (2014)

One figure that draws attention, bearing in mind that it reflects an overall average of the companies that responded to the question of interest, is the split between companies that sell their products domestically and those that export to international customers, at 80% and 20%, respectively. This shows an inversion of that same measure as seen in previous years, during which a greater share of such goods were exported, due in large part to exchange rate conditions at the time.

Regarding the categories of customers to which the companies´ goods are sold, five out of nine companies studied deal in business-to-business transactions, largely made up of hotels, motels, licensed resellers, and institutions, among others. Three companies sell to final users, and just one serves a split of the two.

Table 3 – Target Market and Companies

     Companies\Class

A Class

B Class

C Class

D Class

E Class

Company 1

X

X

 

 

 

Company 2

X

X

 

 

 

Company 3

 

X

X

 

 

Company 4

X

X

X

 

 

Company 5

X

X

X

 

 

Company 6

X

X

X

 

 

Company 7

X

X

X

 

 

Company 8

 

 

X

X

X

Company 9

X

X

X

X

X

Source: Questionnaire sent to the companies (2014)]

When considering the target market of the companies in question, Table 3 shows that the A, B, and C classes are notably prevalent, while just one company markets to all of the classes considered, including D and E as well. Another one of the survey respondents prefers to target from C onward, while yet another opts for simply B and C, omitting A, D, and E.

Textile companies market a wide range of goods, including bedding, dining and bathroom, comforters, sleepwear, mattress covers, pillows, blankets, towels, knitwear, garments, shirts, pants, hospitality goods, footwear, automotive products, labels, tags, and decorative products, among others.

4.2 Overview of the companies´ PPC

Each of the companies studied have a department specifically dedicated to PPC, and for a deeper understanding of these, the following graphs, tables, and analyses are provided.

PPC departments are delegated to two separate posts. Of the total of companies in question, 56% have their PPC functions delegated to the logistics manager, while the other 44% place it under the responsibility of production management

Some companies show a greater number of employees working in their PPC department, as three of them responded as having between 11 and 15 employed annually. Two companies stated that they have between six and 10 staff members working in said functions, and four have up to five people working in their respective PPC department.

It bears noting that, of the companies analyzed, not one operates for the sole purpose of amassing inventory of standardized characteristics, as the product of 22% of them is tailor-made to customer specifications while the other 78% both build up standard-issue inventories as well as made-to-order goods.

Within the tasks assigned to PPC departments, a great deal of diversity is noted between the companies in question, given that a few of the companies charge said department with a larger quantity of assignments. For example, not one of the PPC departments surveyed is assigned with drawing up sales forecasts. Just two companies assign all of the other relevant tasks to their PPC department, including: drafting the production plan; determining what will be made, bought, and assembled; raw-materials component parts, goods in process, and finished goods inventories control; designing the production line sequence; completing and submitting purchase, manufacturing, and assembly orders, and indicator-led production control. The other companies´ PPC display some of these tasks assigned to them, among which, just one stated that the lone task of determining what will be made, bought and assembled is delegated to it.

One question that was addressed among the companies responding to the questionnaire was the inquiry into which aspects of sales and customer service need to be improved –subsequently facilitating PPC activities-, to which the majority of responses were similar. Along these lines, the companies stated that their respective PPC departments would be aided if the sales and customer service teams enacted the following: improvements to sales forecasts and market studies; the definition of monthly sales within the predetermined timeframe, and a greater level of detail in sales quotas, all of which demonstrated the need, on part of the PPC department, to receive timely and accurate information from the sales and customer service departments, which would allow for measures to be taken in step with present needs. One company did not respond to this query.

4.3 Long-term PPC activities

It is clear that strategic planning is carried out at the corporate level in each of the companies participating in this study. All of the companies analyzed set their production plan in agreement with production levels, as well as inventories, human resources, and the machinery and facilities required to meet demand.

In respect to strategic planning and production planning operating cycles, five companies work in a cycle of one year, two on a semester basis, one, quarterly, and one in a monthly rotation.

The results show that, among the companies surveyed, seasonality is not a factor in the product mix for just 11%, while some of the products of 56% are affected by seasonality, and 33% stated that all of their products are subject to seasonality. To work around seasonality, the majority of the questionnaire respondents stated that they stagger production levels, producing a bit above demand in low season, and a bit below in high season, using the excess to meet demand throughout the year without interruption. Some companies attempt to compensate for seasonality by offering discounts to the sales price in seasons of low demand. One company addresses seasonality by keeping production constant, building up finished-goods inventories in times of low demand to be sold in times of high. Other methods, which were shown in practice in two companies, include exporting products in concert with seasonality and offering vacation to employees during that length of time.

For the purpose of preparing a production plan, 89% of the companies employ mathematical techniques, while just 11% use trial and error. In 67% of the cases, the establishment of a production plan is carried out in terms of product lines, while the other 33% do so on a product-by-product basis.

The definition of goods to be produced in the upcoming cycle is set by customer orders alone in 11% of the companies, while 22% base that decision on sales forecasts and in the majority of the sample (67%), the determination is made considering both criteria.

The kanban system, which can be used to regulate fluctuations of requisitions and production volumes in individual workstations, inventory reduction, decentralizing factory management, as well as other tasks, would be of use to the companies sampled, given that the vast majority of respondents do not have it in place currently.

Qualitative sales forecasting, or rather, one that is based in the opinion and judgment of key people, each of which is an expert on the products or market to which they are destined, is the lone method used in the case of 11% of the companies; 22% use just quantitative sales forecasting, which is based on previous data and the utilization of mathematical and statistical models for projecting demand, and 67% use both qualitative and quantitative sales forecasting. Sales forecasts are drawn up on an individual-product level in 78% of the respondents, while 22% prepare sales forecasts for product lines.

In regards to sales-forecasting techniques in place, one company uses factors listing, or rather, a simple estimation of future sales. Three companies use the scenario construction technique, which incorporates future uncertainty. The most used forecasting technique is extrapolation: four companies base their forecasts in past-sales data, while one employs a simple estimate along with the same.

As shown in Figure 1, which categorizes the performance criteria used by the companies using a scale of zero to six (with six being the most important, and 0 denoting non-applicability), the disparity between the ranks corresponding to each criterion among the companies in question is substantial, from which the following stands out: all of the companies but one place cost above three, as it is not employed as a performance factor in that case. It bears mentioning that the performance criteria factor considered that of greatest importance by the majority of the companies is quality, with delivery, flexibility, innovation and environment showing varying degrees of importance.

Company\Criteria

Cost

Quality

Delivery

Flexibility

Innovation

Environment

Company 1

6

5

3

4

1

2

Company 2

4

6

6

6

2

6

Company 3

6

6

6

3

5

5

Company 4

6

6

6

6

5

4

Company 5

6

6

5

5

6

3

Company 6

0

6

3

4

3

6

Company 7

5

6

4

4

5

6

Company 8

3

6

4

4

5

6

Company 9

6

6

6

4

6

6

Figure 1 – Relative ratings of performance criteria.

Source: Questionnaire sent to companies.

The results also show that the technique used by all of the companies in their respective production systems is MRP (Material Requirements Planning), which is a production planning and inventory management system based on support from information systems that seeks to address the following issues: what, how much, and when to manufacture. Another often-used technique among the companies is JIT (Just-in-time), which aims to eliminate waste and place the right good at the right place, at the right time. It can be noted that some techniques, like OPT (Optimized Production Technology), for example, which has as its general objective the reduction of inventories and operational expenses, as well as the Kaizen method –focusing on the elimination of losses in all of the systems making up the organization, and not allowing one day pass without improvement to the company made- are used by a smaller number of the companies. Some other techniques have average use by the companies making up the study.

4.4 Mid-term PPC activities

In respect to the development of a production master plan, 56%, or rather, more than half, of the companies execute the process monthly, 22% on a weekly basis, and the remaining 22% twice a month.

In relation to the production master plan once more, for 67% of the companies in question, the term applies to individual finished goods, while for the other 33%, to product lines.

All of the companies recognize having changes in the production master plan, of which 45% of the companies experience changes often, 33% do occasionally, and 22% state the existence of such changes, but emphasize that they are infrequent in nature.

Of the changes make to the production master plan, 56% of the companies state that these can take place at any time during the operating cycle, while 22% see them take place generally during the beginning of the plan´s timeframe, and the other 22%, at some point following that point.

The great majority of the companies (67%), responded that the root of these changes to the production master plan take place as a result of pressure from the sales and/or customer relations departments, while the remaining 33% attributed them to other causes, including: customer requests, adjustments to the plan in step with sales volume, and the variation of orders received.

All of the companies making up the sample have the composition of their finished goods documented as is due, showing the diverse components, subgroupings, and groupings along with the quantity placed into each, which is also known as the product tree or diagram.

The sequence of operations necessary to the production of parts and finished goods is also well documented in all of the companies responding to the questionnaire.

In terms of the time required by operations, 67% of the companies in question clock all and update them regularly, 22% have but some of these lengths of time updated, and 11% do record them but do not maintain them up-to-date.

These operation times were obtained in various ways, with 78% recording them with simple timekeeping, 11% by way of the average length of past times, and 11% using their own method, which associates lengths of time with pre-established tasks.

All of the PPC departments analyze the viability of adherence to the production master plan through the lens of first calculating the occupation level of each stage of the process, using units of production as its measure. This employs a preset standard productive-resource requirement per unit, per cycle, and staging that against the availability of said resource.

4.5 Short-term PPC activities

The ABC inventory classification system is used by 78% of the companies surveyed. Of these, 43% use unit raw materials cost multiplied by its respective usage. Another 43% use raw material usage as their classification criteria, while just 14% use raw materials acquisition time delay.

The calculation of economic order quantity is used for each of raw materials alone in two of the companies surveyed. Four companies calculate the economic order quantity for some materials, while three do not carry out this task. In regards to the latter, the quantity of material that must be acquired for each purchase order is calculated as follows: as per the surge of materials required in the MRP system, by way of the batch established by each supplier, and in accordance with client preferences. These techniques apply in the case of outsourcing textile manufacturing services. Of the companies that employ the calculation of the economic order quantity, 83% consider inventory acquisition and maintenance costs as a factor in the same, while 17% take the supplier´s point of view on the economic quantity as a factor.

In respect to the calculation of the economic manufacturing quantity, just three companies carry it out for all of their products; one carries the calculation out for some products, and most surprisingly, five of the nine companies do not carry it out at all. Of these companies that do not make the calculation, the determination of what will be produced is set in accordance to the quantity displayed in production orders, adjusted for anticipated losses inherent to the process, in the case of one, while another the customer order determines said quantity, given that the company outsources some services and a company is based on the volume of orders in each operating period. The remaining two companies that do not make the calculation did not elaborate on the technique that they employ in its place. Of the companies that do calculate the economic manufacturing quantity, 50% of them see only order preparation costs as a factor, while the other half considers that in conjunction with the costs of maintaining inventories.

All of the companies that participated in the present work employ an MRP system. Of those nine, five companies operationalize said system both manually and aided by computer automation, while the other four responded as using solely the latter.

Replacement batches are set by the MRP system on a one-at-a-time basis by 56% of the companies, which is to say, the replaced amount will be determined simply by the net necessary quantity of each item. Eleven percent of the companies surveyed set replacement levels by way of the fixed economic batch method, with the same amount always replaced in accordance with the definition of the economic batch. The fixed batch method is employed by 11% of the companies, given that this method sets a predetermined amount for periodic replacement, without making use of the economic batch calculation. The remaining 11% did not see fit to respond to this query.

The determination of manufacturing raw-materials-in-process inventories takes place either when a set level of materials in inventory is reached (reorder or replacement point, which dictates that a predetermined quantity of the item is ordered for replacement), or as per the demands placed on finished goods, which takes into account the need for component pieces as well as raw materials, bringing more of each in agreement with the need for them in the production process (using an MRP-based reasoning).

In considering MRP in relation to other systems, 45% of the companies maintain an MRP system as an integrated module for the entire organization, 22% keep the MRP independent of other systems, 11% integrate the MRP with some other systems, 11% have the MRP integrated with all of the company´s systems and the remaining 11% did not see fit to respond to this query.

In the case of 56% of the companies, the development of the MRP system was carried out by a company specialized in the matter, while 33% developed it on their own. Eleven percent of the companies participating in the study did not give response as to this topic.

All of the companies surveyed use a safety stock level, among which 45% set it by way of individual experience and as such, subjectively, 44% employed mathematical and statistical formulas, and the other 11% set it based off of the minimum level of a specific period. Fifty-seven percent of the companies use safety stock levels in their raw materials, 29% in purchased components, and 14% in finished goods.

The safety stock level is greater for some products than for others in 56% of the companies, while for 26%, is set in accordance with the classification of the inventory item (A, B, or C). Of the total number of companies analyzed, 22% preferred to not respond to this query.

Of all of the responses obtained from the companies, the production-sequencing rule that is most often used is the shortest delivery time, with the priorities index in second place and theory of constraints in third. One lone response also indicated the least setup possible, while keeping customer service in mind, was used in sequencing decisions.

In the majority of the companies, the formation of the sequence in which manufacturing and assembly orders is carried out by the PPC department, which defines the production plan using technical criteria. In one company the production manager, who acts in accordance with his own criteria, practices, and common sense to make said decision, while in another company, the employees involved in production set the sequence using the kanban system.

Just one company displays order sequencing with the Gantt graph (bar diagram), which seeks to plan projects over time. All of the other companies display order sequencing in reports indicating what is to be done in each period, and which resource is to be used.

Production sequencing is done in diverse ways among the companies of the study, including: using computer software designed by the company for that specific purpose, without its being integrated into other systems; using software acquired from a company specializing in the matter, without its being integrated into other systems; using software meant for the task, that is also one of the modules of the integrated information system that the company employs, developed in-house; without use of information technology, or using priorities reports and Microsoft Excel® spreadsheets.

In terms of manufacturing, purchasing, and assembly orders, the fact that the majority of the manufacturing orders are submitted in print form, the majority of purchasing orders are submitted by computer terminal prompt in the purchasing department, and assembly orders are submitted in solely print form is apparent.

For 56% of the companies, the principal objective of production sequencing is the reduction of average delay time, or rather, the average of the differences in time between the requested order delivery date and the date for which said sequence allows. The other 44% of the companies responded as having average lead-time reduction as the principal objective, which is, in other words, the total processing time.

For production control and monitoring, 67% of the companies employ both print and electronic forms, 22% use only electronic ones, and 11% gather information on production control and monitoring from related print documents and later enter the data into the computer system.

The rate at which control-related information is generated is, in the case of some companies, in real-time (online), while for another, at the end of each workday, while for others still its periodicity varies in step with the type of control applied. In all of the companies, this information is obtained from the production department, by way of indicators within the particular department subject to said controls.

The types of information / indicators that are collected during production monitoring and control are: quantities produced, time elapsed in production, unproductive hours, wastes, setups, processing times, operators, shifts, interference in processes, delivery dates, man-hour productivity, efficiency, absenteeism, planned vs. achieved, ratio of second-rate products, and materials usage, among others.

All of the PPC departments of the companies re-plan production upon detecting discrepancy between planned and accomplished levels, subsequently searching for the source of these differences. The identification and corrective action taken in regards to these discrepancies is carried out in the departments directly, and indirectly, involved with the problem detected. This includes PPC, and even, at times, said actions are taken by it, alongside the department in question. In the event that the cause of the problems involves the department in which the problem arose, only the respective department manager takes part in the identification of the issue. Generally, the ways in which the companies compensate for those discrepancies are over-time labor and outsourcing.

The most common cause of discrepancy between actual and planned production was stated as being production department incapacity by 78% of the companies surveyed; 11% pointed towards planning problems, and the remaining 11% did not respond to this query.

As to the responses obtained concerning the usage and types of total quality in control and production monitoring tools, those of greatest prevalence were: firstly, the Pareto chart, Statistical Process Control (SPC), and the PDCA (Plan-Do-Check-Act) cycle; in second place, the Ishikawa diagram, while in third, the use of graphs in general to illustrate process evolution. Of the companies making up the study, two responded as not using total quality management tools in production control and monitoring.

The kanban system is in operation in 56% of the companies surveyed, with the other 44% not responding as having implemented the same.

In the companies using the kanban system, automated kanban appears most often, following which there is a tie between the kanban container and kanban board methods; the kanban card is in third place, and in fourth, a unique kanban supplier system in which there is an understanding with said supplier in terms of the levels of inventory that it must maintain, with the inventory floor-point triggering a purchase order in the supplier system.

Various types of kanban cards are in use in the companies comprising the research sample, including the kanban production card, which is used to authorize the manufacture or assembly of batches within a particular workstation and was found in three of the companies. In one of the respondents, this type of card is used for spinning, weaving, processing, confection, and shipping, while in another it is used for the assembly of yarn spools in the weaving department, while in a third company it is used electronically; the internal requisition kanban card (or, transport), which works as a materials requisition, authorizing items to flow through workstations that produce and consume them. Two warehousing companies use the supplier kanban card, which authorizes the external supplier to deliver a batch directly to the department that will use it. Three companies use this: one for line purchases, one for high-volume manufacturing supplies purchases, and finally, the third uses it in the purchase of cotton and

The kanban board is used by two companies to indicate the flow of usage of materials through the manufacturing process. Some companies use the kanban system with just one card –rather, a sole production card- while others use it with two cards: one for production, and the other for requisition (transport).

According to the companies, the chief advantages afforded to manufacturing systems by the Kanban system were the following: safety, reduction of materials in process and supplies inventories, agility in production and delivery tasks, information democratization, cleanliness / organization, speed, meeting determined time windows and the reduction of space required for storage.

4.6 Other information regarding PPC

Of the nine companies comprising the study, seven display machine-setup controls, while the remaining two do not have such controls in place. The average time, in days, between the submission of a production order and the delivery of said goods to finished-goods inventories is quite varied, spanning (in order of least to greatest): 3, 8, 10, 15, 15, 18, 20, 30 and 30.

The companies also provided their opinions on the strengths and weaknesses of their respective PPC departments, which are shown below:

Strengths

- Qualified labor;

- Mathematical methods and controls that allow for a more deterministic system;

- Integrated System;

- Trained Programmers;

- Quick communication;

- Access to production;

- Flexibility with sales, customer service, and purchasing departments;

- Working knowledge of orders;

- Speed with exclusive orders;

- Integration with production;

- System with many tools;

- Large quantity of production control reports;

- Ease of direct communication with production;

- Clear definition of company goals, knowledgeable on what must be planned to keep the company balanced;

- Commitment to product delivery;

- Flexibility to produce highly-differentiated products;

- Company with the ease of producing small batches;

- Small inventories and quick turnover;

- Computerization;

- Process control with online updating;

- Well-defined and followed long, mid, and short-term planning;

- Backing from the production department;

- Flexibility with meeting customer priorities;

- Agile response to sales and customer service issues;

- Complete overview of production, sales, marketing, and customer service;

- Production-order controls.

Weaknesses

- Complete lack of PPC computerization;

- Delayed reports;

- Higher inventory levels when switching between seasonal collections;

- Dependence on third parties for raw materials acquisition;

- Excess of keystrokes need to release production orders;

- Delays in response to orders for seasonal collections;

- Lack of long-term vision;

- Low confidence in sales forecasts;

- Director-interference in planning, setting priorities;

- PPC-made sequences not followed by the production department;

- Difficulty in raw-materials delivery;

- Difficulty managing a large volume of orders;

- Difficulty monitoring outsource operations;

- Lack of integration with other systems;

- Lack of an integrated planning system;

- Lack of labor versatility.

Figure 2 – PPC Strengths and Weaknesses.

Source: Questionnaire sent to companies (2014).

From the above data, it is evident that many companies share, in their respective divisions responsible for PPC, strengths and weaknesses, while, in some cases, a strong point within one company might be considered a weak point in another, particularly in terms of information systems and production planning tools. One of the points that is most often deemed a weakness by the companies in question deals directly with the low degree of confidence lent by sales forecasts and also the lack of information from the same in a timely manner that would otherwise permit production planning. This is a topic of constant discussion in various forums, colloquioms, conferences, and lectures due the set of problems stemming from it, whether they be in terms of customer service or inventory levels. All of the companies participating in the study pointed out that they are both aware of their respective areas in need of improvement and anticipate better results by way of participation from each of the departments comprising them.

5. Conclusions

Though some companies display a more-structured PPC department, in the sense of a greater number of tasks resulting in a wider range of duties related to production planning and processes, many of the respondents assign but a few tasks to their PPC departments, possibly leading to difficulties in control and follow-up. The latter can also result from poorly defined duties or an unclear division of labor across sectors, both of which stand to result in information inconsistencies.

Strategic planning and setting up a production plan anticipate and lay out future scenarios, thusly allowing for an overview of productive capacities and aiding in decisions essential to the correct course and execution of the mission, both of which are of great importance to companies. This is especially important when considering that seasonality is a factor for the majority of the companies participating in the study.

Some companies need to examine the possibility of employing total quality management tools in the control of, and follow-up to, production, as they enable better measurement, viewing, analysis, and monitoring of disparities between what is planned and achieved.

The application of this questionnaire fosters an objectively structured diagnostic of PPC departments. For continued and enriched research in this field, the application of this method is suggested for use at a national level, in the textile industry as well as in other manufacturing and industrial settings.

References

ABIT – Associação Brasileira da Indústria Têxtil e de Confecção. São Paulo, 2011. Apresenta informações sobre o perfil do setor têxtil. Available online: <http://www.abit.org.br/site/navegacao.asp?id_menu=1&id_sub=4&idioma=PT>. Accessed: 07 Jul. 2011.

BOONEY, M. Reflections on production planning and control (PPC). Gestão e Produção, v. 7,

n. 3, p. 181-207, 2000.

BURBIDGE, John L., Planejamento e Controle da Produção. São Paulo: Atlas, 1988.

CORRÊA, H. et al. Planejamento, programação e controle da produção, São Paulo: Atlas, 2001.

FERNANDES, F.C.F.; SANTORO, M.C. Avaliação do grau de prioridade e do foco do planejamento e controle da produção (PCP): modelos e estudos de casos. Gestão e Produção, v. 12, n. 1, p. 25-38, 2005.

MACCARTHY, B.L.; FERNANDES, F.C.F. A multi-dimensional classification of production systems for the design and selection of production planning and control systems. Production Planning & Control, v. 11, n. 5, p. 481-496, 2000.

MARTINS, Petrônio G.; LAUGENI Fernando P., Administração da Produção. 2.ed. São Paulo: Saraiva, 2005.

TUBINO, Dalvio F., Manual de Planejamento e Controle da Produção. São Paulo: Atlas, 1997.

Acknowledgements

The authors wish to thank the companies that took part in this study, as well as the professionals that responded to the questionnaires and thusly contributed to the completion of the work.


1. Doctorate candidate, Production Engineering, Federal University of Santa Catarina – UFSC. (e-mail: mauricioloos@hotmail.com).

2. PhD (Technical University of Madrid) and Professor at the Federal University of Santa Catarina – UFSC. (e-mail: taboada@deps.ufsc.br).

3. Doctor of Production Engineering (Federal University of Santa Catarina – UFSC) and Professor at the Federal Technical University of Paraná - UTFPR. (e-mail: follmann@utfpr.edu.br)


Vol. 36 (Nº 08) Año 2015
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