Identifying the factory production program refers to the process of defining what and how to produce to meet the sales and marketing strategy. It typically includes details on the list of products, their specifications, sizes, formulas, quality, the scope of uses and instructions, generic or patented items, ways of acquiring patented licenses, if any, production design capacity per product item or machinery/production line based on one shift basis of eight hours, timelines, resources, and quality standards. Moreover, it also includes a high-level briefing on the production inputs to reach the maximum production capacity, like raw materials, other supplies requirements, resources, utilities, etc. Also, the production program identifies the desired levels of production efficiency and productivity of the factory and wastes. The production program is the first step in searching the technical study of the project and providing important information on the production outputs, inputs, processes, and targets that can be significant to meet the sales strategy and deciding on the production technology. It provides a clear roadmap for production teams to plan and execute production processes efficiently and effectively. By creating a production program, a company can identify potential bottlenecks and other issues in the production process and address these problems proactively. By understanding the production capacity and capabilities, companies can adjust their production plans, as needed, to meet changing demands.
Step-By-Step Process
- Clarify the previously explained processes like the marketing and sales study, the project’s raw materials and supplies, and location.
- Study the corporate business strategy and understand the products and quantity scheduled to meet demands.
- Identify the list of products, features, specifications, and standards of quality.
- Estimate the design capacity for every product and schedule to reach maximum capacity.
- Identify inputs necessary to reach design capacities like raw materials (items and specifications), facilities (areas, buildings, utilities, and operating systems), workforces, machinery, tools, etc.
- Design the production system, including procedures and work instructions, to reach production targets.
- Prepare a document highlighting the above outcomes, and share it with your team and experts.
Example
Here is a brief description of the production program for a pharmaceutical manufacturing facility:
- Products: (+22) items-therapeutic areas, incl. diabetic, hyper lipidemic, immune suppressant, anti-coagulant, anti-ulcer, anti-cholinergic, anti-depressant, heart failure, anti-hypertension, decongestant, corticosteroid, anti-biotic, iron, glaucoma, ant-histamine, analgesic, diuretics, and anti-fungal.
- Design capacity: (80) million tablets and capsules yearly based on one production shift a day. The full design capacity of the project is gradually reached in the fifth year of operation.
- Facilities: a building facility over an area of (4000) M2.
- Technology: the full-automatic machinery is sourced from the first ranking technology with European specifications.
- Workforce: (93) employees.
Useful Tips
- Study the corporate business strategy to define products and design capacities.
- Identify a flexible production program that suits the dynamic nature of demands.
- Obtain information on available technologies and competitive products that will be input to identify the production program.
- Consult experts and share discussions with your team and stakeholders.
Things To Avoid
- Deciding on the project production program without proper studying and consultation.
Final Note
This article is sourced from my new book- Your Guide For Preparing An Industrial Feasibility Study.
For more information about the book: https://growenterprise.co.uk/book-your-guide-for-preparing-an-industrial-feasibility-study/
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The author: Munther Al Dawood- Industrial Enterprise Expert
