Production Scheduling Through Oracle Ascp and Wip Wave 2

8/17/2019 Production Scheduling Through Oracle Ascp and Wip Wave 2

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Production Scheduling through Oracle ASCP and WIP - Wave 2

Introduction: This post is in continuation to my earlier post "Pragmatic Approach to Production Scheduling – Wave 1"

An effective and reliable production scheduling system is must for a manufacturing organization to achieve true operationsexcellence. Many organizations often struggle to implement an effective production planning system which often leads toshop-floor inefficiencies, large Inventory and WIP levels. Lack of accu

rate Production Scheduling also affects timelydelivery and quality of goods thus impacting overall customer satisfaction.

Based on my experience I've tried to present a pragmatic approach to production planning and scheduling through this

series comprising of five Articles. The series primarily focuses on Production Scheduling and Capacity Planning utilizingOracle Inventory, Bills of Material (BOM), Work in Process (WIP), Advanced Supply Chain Planning (ASCP) andProduction Scheduling (PS) modules.

I've described five waves of implementing an effective production scheduling system taking into view the complexities,pre-requisites and business maturity required for each wave.

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This article is the second post of the series "Pragmatic Approach to Production Scheduling" and describes the "Wave 2"of the above discussed approach. Please refer "Pragmatic Approach to Production Scheduling – Wave 1" for the previous

post of this series.

Wave 2: Production Scheduling through Oracle ASCP

Once we have ensured the correctness of master data, the next step is to achieve an accurate production plan in near aswell long term. Let's discuss a simple business case of Production S

cheduling using Oracle ASCP in following sections.

Assumption: Unconstrained material availability and production scheduling can be carried out on the basis of availablemachine and manpower resources (Hours), single organization level production scheduling

Master Data: I've used three assemblies TA0001, TA0002, TA0003 and two sub-assemblies towards this business case.

Following are the BOM and Routing details.

Bill of Materials (BOM)

Assembly Component Item Seq Operation

Seq

UOM Basis Quantity

TA0001 MN_SA1 10 5 Ea Item 1

MN_SA2 20 20 Ea Item 1





MN_SA1 MN_C1 10 1 Ea Item 1

MN_SA2 MN_C2 10 1 Ea Item 1

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Routing

Assembly OperationSeq

Department LeadTime %

Resource Usage(Hr)

AssignedUnits

Schedule Offset %

TA0001 5 MACHINING 0 R001 12 1 Yes 0

10 ASSEMBLY 18.18 R002 12 1 Yes 18.18

R003 24 1 Yes 36.36

20 FINISHING 72.73 R004 36 2 Yes 72.72

TA0002 5 MACHINING 0 R001 24 1 Yes 0

10 ASSEMBLY 18.18 R002 24 1 Yes 18.18

R003 48 1 Yes 36.36

20 FINISHING 72.73 R004 72 2 Yes 72.73TA0001 5 MACHINING 0 R001 36 1 Yes 0

10 ASSEMBLY 18.18 R002 36 1 Yes 18.18

R003 72 1 Yes 36.36

20 FINISHING 72.73 R004 108 2 Yes 72.72

Total Manufacturing Lead Time (Days) are computed as follows:

Assembly Fixed Lead

Time (F)

Variable Lead

Time (V)

Processing

Time (F + V)TA0001 0 2.75 2.75

TA0002 0 5.5 5.5

TA0003 0 8.25 8.25

MN_SA1 0 0.33 0.33

MN_SA2 0 0.33 0.33

1) Demand Schedu le Creat ion – Lets create a Master Demand Schedule (MDS) to register the demand for these threeassemblies.(Navigation: Material Planning MDS Names)


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MDS Name: ASCP MDS is created with three lines

Assembly Demand Date Quantity

TA0001 30-05-2014 5

TA0002 20-06-2014 5

TA0003 12-06-2014 1

2) Run Col lect ions – Run Collections to import MDS demand as well as master data to ASCP planning instance withcollection method as "Complete Refresh" (Navigation: Advanced Supply Chain Planning Collections StandardCollection). This Process will launch "Planning Data Pull" and "Planning ODS Load" requests. Planning Data Pull will

bring the transactional system data into staging tables whereas "Planning ODS Load" loads the data to ASCP planninginstance. This will launch several concurrent requests to execute the collection process.

Note: Standard collection with "Complete Refresh" collection method is used towards this demonstration as fresh data is being imported into ASCP planning server. Continuous collection method is used in case of incremental load.


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Successful completion of all requests ensures data transfer has successfully taken place from transaction instance into ASCP planning instance. It may take quite a while to complete all requests depending on the data volume.

3) Define ASCP Product ion Plan: Define Master Production Schedule MPS_PLAN of plan type "Production Plan"(Navigation : Advanced Supply Chain Planning Supply Chain Plan Names)

Different types of plans are used to enable subset planning as per the business requirements. Following are generalguidelines / recommendations related to using different plan types:


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Master Plan: Master Plan is used for global planning of multiple orgs together; Items will be planned in accordance withthe Item planning type parameter Item Master level.

Production Plan: Production Plan is generally used as MPS; this is often restricted to few or one organization towardsdetailed production scheduling. Master Plan act as demand plan for Production plans.

Manufacturing Plan: Manufacturing Plan is generally used towards MRP planning; this is often restricted to few or oneorganization towards detailed material requirements planning. Production plan act as demand schedule for Manufacturingplans.

You may use a different kind of subset planning depending on the exact requirements. Oracle provides very goodflexibility to design your own kind of subset planning using plan types and Item Planning type attributes.

Plan types used towards this case study are described below. BOM structure has intentionally been kept simple tohighlight the planning logic. Though this simple scenario with one organization does not necessitate Master Plancreation, I've used it for demonstration purpose.


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Similar planning scheme is used for TA0002 and TA0003 for demonstration.

Plan Options need to be set after defining the plan name. Following screenshots demonstrate the plan options setup fordifferent plans. (Navigation: Advanced Supply Chain Planner Supply Chain Plan Names Plan Options)

Plan options for Master Plan ( MPP_Plan )


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Same planning options are set for MPS_PLAN as well as MRP_PLAN except the "Organizations" tab.


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Organizations planning options for MPS_PLAN:


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Organizations planning options for MRP_PLAN:

Note: You may refer Oracle user guides for details of planning option attributes; I've not repeated the definitions in thisarticle.


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Let's now launch the plan and analyze their outputs.

1) Master Plan Launch


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2) Review Plan Results

Once the launching process is complete, Plan results can be analyzed in planner workbench (Navigation: Advance SupplyChain PlannerSupply Chain Plan Workbench)


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Supply/Demand lines for the Master Plan (MPP_PLAN) are shown below:

Planned Orders are suggested against each MDS demand line. Please note that "Suggested Start Date" is computed as

per the manufacturing lead time of TA0001, TA0002 and TA0002 respectively. Following is the calculation logic adoptedby ASCP to suggest the start dates for each planned order.

Demand details:

Assembly MDS DemandDate (X)

Sugg. Due Date(D)

Quantity(Q)

ProcessingTime (T)

Sugg. Start Date (S)

TA0001 30-05-2014 30-05-2014; 00:00:00 5 2.75 12-05-2014; 00:00:00

TA0002 20-06-2014 20-06-2014; 00:00:00 5 5.5 13-05-2014; 00:00:00


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TA0003 12-06-2014 13-06-2014;00:00:00 1 8.25 02-06-2014; 00:00:00

Suggested Start Date (S) is estimated using below mentioned logic:

S = D – Q*T

Note: There is a difference between D and X as D is computed based on the planning options set at "Aggregation" tab:

Day level planning is conducted for no. of days specified in Days Buckets (30), subsequent to which all demand isclubbed at last day of the corresponding week of the demand dates for specified no. of weeks (4). Finally all demand isclubbed at last day of the corresponding period of the demand dates for specified no. of periods (5) i.e. until the end ofplanning horizon


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ASCP unconstrained planning estimates the scheduled start date in aggregate manner and does not provide up-to-minutedetailed scheduling. This is the reason why planned order is scheduled to start at 00:00:00 hours of the day production

should begin to meet the specified demand. Planning logic only considers the work days as per defined workday calendarand ignores all holidays and weekends.

3) Release Planned Orders

Planned Orders are selected and released as WIP Discrete Jobs from planning workbench.

Once released, planned order lines change color to pink.


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Detailed up-to-minute scheduling is done in WIP module as explained in Wave 1 article "Pragmatic Approach toProduction Scheduling – Wave 1" .

Scheduled Start Dates estimated by WIP will be slightly differ as compared to start dates estimated by ASCP since WIPexecutes the detailed up-to-minute scheduling and suggests exact start time as well. WIP based detailed schedule isdisplayed on the following page.

Please note this is an unconstrained detailed productions schedule and resource overload is highlighted whereverapplicable.

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Exactly similar Scheduling logic is applied for Master Production Schedule (MPS_PLAN) which plans the production forsub-assemblies MN_SA1 and MN_SA2 as per the demand generated from MPP_PLAN towards the production of end

assemblies TA0001, TA0002 and TA0003.

Note(s):

i. This article was based on a single organization level planning to demonstrate the scheduling logic adopted byunconstrained ASCP planning. I shall be demonstrating multi-organization level production and distributionplanning in a separate post.

ii. The next article in this series (Pragmatic Approach to Production Scheduling through constrained ASCPplanning) will discuss the constrained scheduling methodology followed by ASCP.

References: Oracle User Guides, Oracle EBS R12.1.3 Vision Instance

Hope you found this Post interesting. Your valued comments and feedback are most welcome.

Best WishesManu SinghalThe Oracle Manufacturing Blog Email: [email protected]

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Documents

Production Scheduling Through Oracle Ascp and Wip Wave 2