2. Flowchart Presentation Page 4 Allen Salas Calvin Kong Claudia Fung Jack Ponvanit Mark Kang Navid Rafiee

3. Production Planning Department From engineering design Specifications for special sales orders Enter data Performed by a production planning clerk Specification for special sales orders document is sent to production planning department. A production clerk enters data into the computer system.

4. Production Planning Department (con’t) Enter Data Update Files The computer system updates the new information in two master files, a)Product specification file b) Operations (routing) file Product Specification File Operations (routing) File

5. Production Planning Department Sales Forecasts Back-order report Determine production needs Sales forecasts and back-order report are used to determine production needs. ( The objective of the planning and scheduling activity is to develop a production plan that is efficient enough to meet existing orders and anticipated shorter-term demand while minimizing inventories of both raw materials and finished goods.) This process is done manually.

6. Production Planning Department (con’t) Determine Production needs Production requirements by products Enter Data Entered at the End of each day The result of the manual process is production requirements by products document. The data in the document is entered into the computer system at the end of each day.

7. Engineering Design Department & Production Planning Department Product Specification File Operations (routing) File Prepare production materials needs update files Two Master files from Engineering Design Department a Department and data Production Planning Department from Production Planning Department have been used in the process of preparing production and materials needs.

8. Raw materials inventory file Machine Loading file Open production orders file ** Production Schedule file Prepare production and materials needs, update files This online process requires the access to three master and one open file. The master files are raw materials inventory file, machine loading file, and production schedule file. The open file is open production order file. At the mean time, this online process also updates new data into these files. ** The master production schedule is adjusted to include the new order.

9. Prepare production and materials needs, update files. The process creates 8 documents that are distributed to different departments. 1.To customer (x3) 2.To production operations (x3) 3.To production work center(x1) 4.To purchasing processing (x1) *Bills of materials **Operations list Sales Order * Bill of Materials: Lists the components that are required to build each product, including part numbers, descriptions, and quantity. Determines what components need to be ordered. ** Operations List: Lists the sequence of steps required to produce each product, including the equipment needed and the amount of time required. 1.To customer

10. Prepare production and materials needs, update files. *Production Order ** Move tickets Materials Issue Cards 2. Production Operations * Production order Authorizes production of a specified quantity of a product. It lists: Operations to be performed Quantity to be produced Location for delivery Also collects data about these activities ** Move ticket Documents the transfer of parts and materials throughout the factory.

11. Prepare production and materials needs, update files. Production schedule (revised) 3. To production work Center

12. Prepare production and materials needs, update files. *Materials requirements report 4. To purchasing processing * Materials requisition Authorizes movement of the needed materials from the storeroom to the factory floor. This document indicates: Production order number Date of issue Part numbers and quantities of raw materials needed (based on data in bill of materials)

13. 5 Technologies 1) Bar coding of materials to improve speed and accuracy. 2) RFID tags can eliminate human intervention in the scanning process. 3) Robots and computer-controlled machinery is called computer-integrated manufacturing (CIM). 4) Separation of duties for production employees in order to have checks and balances to deliver products more accurately. 5) Activity Based Costing (ABC) refine and improve cost allocations under either job-order or process costing systems. refine and improve cost allocations under either job-order or process costing systems.

14. End of Presentation Thank You for Your Attention!!!!