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A production (or manufacturing) planning and control (MPC) system is concerned with planning

and controlling all aspects of manufacturing, including materials, scheduling machines and
people, and coordinating suppliers and customers. An effective MPC system is critical to the
success of any company. An MPC system's design is not a one-off undertaking; it should be
adaptive to respond to changes in the competitive arena, customer requirements, strategy, supply
chain and other possible problems


1. It is used to establish target and check the deviations by comparing on some performance
2. Decides the nature and magnitude of different input factors to produce the output.
3. Coordinates different resources of production system in the most effective and economic manner
and to coordinate among different departments.
4. Elimination of bottleneck
5. Utilization of inventory in the optimal way
6. Smooth flow of material
7. Forecasting of demand
8. To produce in right quantity and quality at right time
9. Scheduling production activities to meet delivery schedule
10. Expediting the system under production
11. Quality management
12. To ensure flexibility in production system to accommodate changes and uncertainty
13. Optimizes the use of resources for minimum overall production cost
14. To ensure the production of right product at right time in right quantity with specification rightly
suited to customers
15. Stable production system, with least chaos, confusion and undue hurry