Question

Pre-planning stage in production planning and control includes which of the following activities?
1. Inventory control 
2. Quality control
3. Demand forecasting
4. Dispatching

Answer 1

Correct Answer - Option 3 : Demand forecasting

Explanation:

Production Planning & Control consist of three different stages.

1. Planning
2. Action
3. Monitoring.

Planning Stage: Planning stages include activities such as planning the resources, facilities, etc. They are further divided into two stages.

• Pre-planning Stage: This stage deals with the activities such as product planning, forecasting of the demand on the basis of the past trend, inputs planning, plant and facility planning related to location and layout.
• Planning Stage: After the pre-planning, the quantity, level of quantity, process capacity, production planning like routing, scheduling materials, tools planning, etc. are carried out in the planning stage.

Action Stage: It is the real implementation of the plan. It begins with dispatching functions, which deals with the progress of work or job.

Monitoring: In this stage, the planned activities are controlled and monitored by using various techniques such as inventory control, tool control, cost control, quality control, etc.