Explain three objectives of production planning.(8 marks)June/July 2020

The objectives of production planning are to:

1. Ensure that the necessary resources are available: Production planning involves determining the materials, equipment, and personnel needed to complete the production process. By ensuring that these resources are available, production can be carried out efficiently and without interruption.
2. Achieve production efficiency: Production planning aims to maximize the use of resources and minimize waste, in order to achieve the highest level of efficiency possible. This may involve identifying bottlenecks in the production process and finding ways to eliminate them.
3. Meet customer demand: Production planning involves forecasting customer demand and ensuring that sufficient quantities of goods are produced to meet that demand. This helps to prevent shortages and ensure that customers receive the products they need in a timely manner.
4. Achieve product quality: Production planning involves establishing quality standards and ensuring that these standards are met throughout the production process. This helps to ensure that the finished products meet the expectations of customers and meet any regulatory requirements.
5. Improve competitiveness: By optimizing the production process and reducing costs, production planning can help an organization to become more competitive in the marketplace.
6. Achieve financial goals: Production planning can help an organization to achieve its financial goals, such as maximizing profits or minimizing losses, by ensuring that resources are used effectively and efficiently.
7. Ensure safety: Production planning should also consider the safety of workers and the environment, and take steps to minimize any potential risks.
8. Foster innovation: Production planning can also involve identifying opportunities for innovation and continuous improvement, in order to stay ahead of the competition and meet changing customer needs.