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1. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.1
10.1
Chapter 10
The nature of planning and
control
Pearson Education Ltd. Jules Selmes

2. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.2
10.2
Design
Planning and
control
Operations
strategy
Improvement
Capacity planning and control
Capacity planning
and control
The operation supplies...
delivered products and
services
The market requires…
products and services
delivered to requested
time, quantity and quality

3. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.3
10.3
In Chapter 10 – The nature of planning and control – Slack et
al. identify the following key questions:
• What is planning and control?
• How do supply demand affect planning and control?
• What are the activities of planning and control?
Key operations questions

4. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.4
10.4
• Planning is a formalization of what is intended to
happen at some time in the future.
• A plan does not guarantee that an event will actually
happen, it is a statement of intention.
• Although plans are based on expectations, during their
implementation things do not always happen as
expected.
• Control is the process of coping with any changes that
affect the plan. It may also mean that an ‘intervention’ will
need to be made in the operation to bring it back ‘on track’.
Planning and control

5. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.5
10.5
Planning is deciding
Control is
what activities should take place in the
operation
when they should take place
what resources should be allocated to them
understanding what is actually happening in
the operation
deciding whether there is a significant deviation
from what should be happening
(if there is deviation) changing resources in order
to affect the operation’s activities.
Planning and control (Continued)

6. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.6
10.6
PLANNING
CONTROL
Significance of planning and controlTimehorizon
Hours/daysDays/weeks/monthsMonths/years
Long-term planning and control
Uses aggregated demand forecasts
Determines resources in aggregated form
Objectives set in largely financial terms
Medium-term planning and control
Uses partially disaggregated demand forecasts
Determines resources and contingencies
Objectives set in both financial and operations
terms
Short-term planning and control
Uses totally disaggregated forecasts or
actual demand
Makes interventions to resources to correct
deviations from plans
Ad hoc consideration of operations objectives.

7. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.7
10.7
Dependent and independent demand
Dependent demand
e.g. input tyre store in automobile plant
Demand for tyres is
governed by the number
of automobiles planned
to be made
For every automobile
that are planned to be
made, five tyres will be
needed

8. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.8
10.8
Dependent and independent demand (Continued)
Demand for tyres is
largely governed by
random factors.
ACE
TYRES
Demand for tyres is governed by the
type of car arriving, the fluctuations in
the number of cars arriving and how
many tyres need replacing.
Independent demand
e.g. tyre-fitting service

9. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.9
10.9
P : D ratios
D
P
Produce to stock
D
P
Part produce to order
D
P
Resource to order
Customer
orders
Deliver to customer
Allow time
for delivery
Produce product/service
Allow time
for creation
Obtain resources
Allow time for
resourcing
D
P
Produce to order

10. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.10
10.10
P : D ratios (Continued)
Resource to
order
Make to stock
Make to order
Dependent
demand
Independent
demand
Each product or
service (large)
compared with
total capacity of
the operation
Each product or
service (small)
compared with
total capacity of
the operation

11. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.11
10.11
Scheduling Loading
Sequencing
Monitoring
and control
When to
do things?
In what
order to do
things?
How much
to do?
Are activities
going to plan?
The activities of planning and control

12. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.12
10.12
Quality
losses Slow
running
equipment
Equipment
‘idling’ ‘Breakdown’
failure
Set-up and
changeovers
Not worked
(unplanned)
Valuable operating
time
Maximum available time
Loading – The reduction of time available for ‘valuable
operating time’
Not worked
(planned)

13. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.13
10.13
Finite and infinite loading of jobs on three work centres A, B and C. Finite loading
limits the loading on each centre to their capacities, even if it means that jobs will be
late. Infinite loading allows the loading on each centre to exceed their capacities to
ensure that jobs will not be late.
1
2
3
4
5
6
0
Work centre Work centre
A B C A B C
Finite loading Infinite loading
Finite and infinite loading

14. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.14
10.14
In Accident and Emergency departments, patients arrive at
random. Medical staff must rapidly devise a schedule.
Patients with serious illness need urgent attention. Less
urgent cases will have to wait. Routine non-urgent cases
will have the lowest priority of all.
The hospital triage system

15. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.15
10.15
Triage in the police

16. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.16
10.16
Process
stage
Week
12
Week
13
Week
14
Week
15
Week
16
Week
17
Week
18
Job A Job B Job C Job D Job E
Job A Job BJob Y Job X
Job A Job BJob Z Job XJob Y
Job A Job BJob X Job C
Gantt chart showing the schedule for jobs at each
process stage
Initial spec
Pre-coding
Coding
Compact. check
Final test
Job A Job BJob W Job C Job D

17. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.17
10.17
JOB
Mon
5
Tue
6
Wed
7
Thur
8
Fri
9
Mon
12
Tue
13
Table
Shelves
Kitchen
units
Bed
Actual progress
Time now
V
V
Gantt chart showing the schedule for individual
jobs over time
Scheduled
activity time

18. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.18
10.18
JOB
Mon
5
Tue
6
Wed
7
Thur
8
Fri
9
Mon
12
Tue
13
Wood
preparation
Assembly
Finishing
Paint
Scheduled
activity time Actual progress
T
B
B T
S K
S S S
K
KTS
B T
Non-productive timeV
V
Time
now
Gantt chart by activity

19. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.19
10.19
Pull and push philosophies of planning and control
Push control
Work
centre
Work
centre
Work
centre
Work
centre
Instruction on
what to make
and where to
send it
DEMAND
FORECAST
OR
CENTRAL OPERATIONS, PLANNING AND CONTROL SYSTEM

20. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.20
10.20
Pull control
Work
centre DEMAND
Pull and push philosophies of planning and control
(Continued)
Work
centre
Work
centre
Work
centre
Request Request Request Request
Delivery Delivery Delivery Delivery

21. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.21
10.21 Pull and push philosophies of planning and control
(Continued)

22. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.22
10.22
Shift allocation for the technical ‘hot line’
(a) on a daily basis (b) on a weekly basis
(a)
Shift pattern (24-hour clock)
Peter
Jo
Walter Jo
Marie Claire Jo
04:00 08:00 12:00 16:00 20:00
Peter X X X X O O X
Marie X X X X X O O
Claire X X X X O O X
Walter O X X X X X O
Jo O X X X X X O
Mon Tue Wed Thu Fri Sat Sun
Number of staff
required
3 5 5 5 3 2 2
(b)
X OFull day Day off
Shift allocation

23. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.23
10.23
Operation or
processInput Output
Compare
/ replan
Intervention
Plans
A simple model of control
Monitor

24. Slack, Chambers and Johnston, Operations Management, 6th Edition,
© Nigel Slack, Stuart Chambers, and Robert Johnston 201010.24
10.24
The drum, buffer, rope, concept
Stage or
process
B
Stage or
process
A
Stage or
process
D
Stage or
process
E
Buffer of
inventory
Stage or
process
C
Bottleneck
drum sets
the beat
Communication rope
controls prior activities