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What is the relation between Demand management and Production planning?

How logistics planning is linked to demand management and production planning? How does they impact each other?

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Question added by Sathish Prabhu.V , Manager - Operations & Process Improvement , Revolution Valves
Date Posted: 2016/04/27
Mohamed Abdulfatah  Elhariri
by Mohamed Abdulfatah Elhariri , Supervisor , SBG

It's correlation relation because simply demand management is always works to serve production and vise versa,

  Demand management :is the function of recognizing all demands for goods and services to support the market place. It involves prioritizing demand when supply is lacking. Proper demand management facilitates the planning and use of resources for profitable business results.

while the ,

production planning is the administrative process that takes place within a manufacturing business and which involves making sure that sufficient raw materials , labors and other necessary items are procured and ready to create finished products according to the schedule specified

 

Sathish Prabhu.V
by Sathish Prabhu.V , Manager - Operations & Process Improvement , Revolution Valves

The demand management system begins with a base forecast and then incorporates few factors like product life cycle, changes in distribution channels, pricing, promotions and product mix variations. It also rationalizes the detailed logistics plan, unique forecasts for ware house and product with aggregate product group.

Production planning uses the requirements obtained from demand management in conjunction with manufacturing resources and constraints to develop a workable  manufacturing plan. It also lists, when the resources or materials are needed to produced, how it is needed to be produced, where it is needed to be produced and along with it how the logistics should be planned for movement of materials from various process centers to undergo changes resulting in production.

Thus Demand Management which provides as input to Production planning and activities requires a detailed logistic plan to ensure the product is delivered to the customer on time at right quality and right price.

Ahmed Mohamed Ayesh Sarkhi
by Ahmed Mohamed Ayesh Sarkhi , Shared Services Supervisor , Saudi Musheera Co. Ltd.

wait more details from our experts

 

Saiyid Maududi-Oracle Applications Consultant
by Saiyid Maududi-Oracle Applications Consultant , Entrerprise Architect , US Technomatrix, Inc

Hello Team,

Demand Management: The function of recognizing all demands for goods and services to support the market place. It involves prioritizing demand when supply is lacking. Proper demand management facilitates the planning and use of resources for profitable business results.

The last few decades have seen an increasing demand for enterprise software applications that can streamline supply chain processes and provide lean manufacturing capabilities. At the other end of the supply chain, companies have been moving towards outsourcing their product distribution in order to keep sales overhead in check without sacrificing revenue.Regards,

 

Saiyid

I apologize for the answer, I leave the answer to experts specialists in this field that's not my specialty field

sameer abdul wahab alfaddagh
by sameer abdul wahab alfaddagh , عضو هيئة تدريس , جامعة دلمون

We find that the first thing to start doing industrial projects of the tasks is to provide the capital needed. We can say that the industrial project is working to meet the desires and needs of consumers and so we find that after the capital needed to provide that the project will identify consumer needs and desires, and this is planning commodities and services needed to satisfy these desires From this point we can say that the project focuses on the application of modern marketing philosophy list on the basis of guidance consumer and not the old philosophy that is based on production guidance.... So after the capital necessary formation to identify wants and needs and then flowing then planning data to output as the plans come into effect and are produced goods and services in the light of this data and plans and then the marketing of these goods and services and ending the marketing process to sell these products can be illustrated this system as follows:

I find that this process is a continuous circular does not end once the sale item so that the needs and desires of consumers in a state of flux was incumbent on the project follow-up of these changes until they are modified production and marketing plans to suit this change. 1. The market is the one who directs the project plans and then the existence of the project and its growth is linked to satisfying these needs and not by the satisfaction of goods needed by a small number of individuals...

2. feedback system so that the Department should be in constant touch with the market until they are changes that occur in it and thus modify plans according to these changes. Shall we say that the project as a system composed of several systems and functional overlapping subset, such as the system of production, marketing, finance, research, etc. This means that despite the importance of post production as it needed goods and services provide, but it can not play the role separately from the main work system.

Is the production management of the most important departments in enterprises that are industrial processes, as well as they represent the largest organizational units regarding the number of individuals who work in production, and supports the organizational structure for the management of production and the degree of complexity of the nature of the industrial facility and the large volume of production and the degree of centralization or decentralization, as It depends on the direction of senior management at the facility in terms of deepening the concept of specialty departments or generality any sense create separate departments for each process within the production function,...

 

There is no single method can be circulated to all installations, but there are a number of sections and units should be available in any management of production, so as to complement their work, and where production stages of the relay, and has production units for planning management, production control, and other production services, and a third of the manufacturing, and a fourth for examination, and a fifth of Engineering, and a sixth of quality supervision, tracking production departments sometimes purchasing departments and stores, and the latter track the senior management directly or track financial management

vidya sagar burra
by vidya sagar burra , Assistant Manager SCM , Gati Kintetsu Express Private Limited

agree with the answers provided by Mr. Mohamed Elhariri 

 

Nadeem Asghar
by Nadeem Asghar , Supply Chain Consultant/Trainer , Independent Practitioner

Very relevant reply given by  Sathish Prabhu.V

Wasi Rahman Sheikh
by Wasi Rahman Sheikh , WAREHOUSE SUPERVISOR , AL MUTLAQ FURNITURE MFG

Agree with experts answer <<<<<<<<<<<<<<<<<,

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