SEQUENCING AND PRIORITY SYSTEMS .

by
Brian Willcox CFPIM
of
Action MRPII
When the shop foreman is ready to start the next job on his work centre, how does he know which one to choose. If we have a fully operating MRPII system, he will check on his daily dispatch list to see which are his priorities and then sort out which one of those he will start next. His decision is often based on practical considerations like which colour follows which, with the least change over time.
This leads to a very logical question, how does the system sort out the sequence on the daily dispatch list. The answer is quite simple, it is sorted by date and priority rules. The priority rules I will look at in a moment and the dates are set by operation scheduling which I discussed last week. If you remember I gave two basic approaches, one was detailed operation scheduling using standard times, and the other was by using block scheduling. Both of these methods give a start and completion date for each operation. There are several other methods in use and I will just quickly mention a few of them now.

Scheduling Methods

Limiting or critical operation scheduling, or as it is more commonly known, bottle neck scheduling. The logic for this method is that if you can schedule the work through the bottle necks, the rest will look after themselves.

Single machine sequencing is a method used when a work centre consists of only one machine. This method allows the planner to prioritise the work to achieve certain benefits, like to reduce the number of late jobs, or to get the parts through that are holding up a major assembly from being shipped.

Flow shop sequencing, also know as the Johnson's Method. Theoretically it is suitable for scheduling various jobs through two different machines when all the work flows in the same direction. The planner's responsibility is limited to launching the required work within the capacity restraints and the shop supervision is responsible for planning the sequence within the due date requirements to operate most efficiently. 

The basic concept of operation scheduling is to establish start and completion dates for each operation. Sequencing goes into more detail by endeavouring to sort out the order that work is to be performed within the scheduled dates. This obviously leads us into the subject of priority rules. 

Back in the real world I often see the way many companies tackle this problem. They use coloured stickers. The concept is fine, you put a sticker on the jobs that are the priorities as defined at the production meeting. Unfortunately priorities change, but no one gets round to taking off the stickers that are no longer applicable. The result is that we go for a different colour and now stick these on to the current priorities. The message is, if you have an operation scheduling system, make it work for you. Update the priorities on the system as they occur and let the daily dispatch list give the shops the priority information. The one point that still needs looking at is how do we tell the system how to set the priorities. Some packages have a field called priority, but I have yet to find out the logic it uses and I have yet to find some one that uses it with worthwhile results. (I'd be pleased to hear from any one who does use it, and gets some benefit from it.)
 

Priorities

One of the statements made about an MRPII system is that it is a priority planning and control system. Changes in priorities lead to rescheduling orders, which then cause changes to the sequence the work is required from the shops. 

Priority control is the process of making the plan happen and the recognised tool for doing this is the daily dispatch list. There are various recognised priority rules which use the basic planning information in different ways, to establish the final detailed sequence for the jobs to be worked on.
 

Critical Ratio

The critical ratio priority rule is defined by APICS as a dispatching rule which calculates a priority index number by dividing the time to due date remaining by the expected elapsed time to finish the job.

Typically ratios of less then 1.0 are behind, ratios greater than 1.0 are ahead and a ratio of 1.0 is on schedule. 

Time remaining is the time from now to when the order should be completed. Work remaining is the time required to perform the planned activities. This includes the planned queue, wait and move time (interoperation time). 
By using this ratio the jobs furthest behind are brought to the top of the priority list. 
 

Start Date

The job with the highest priority on the work centre is the one with the earliest start date. 

The objective is to start and complete work in the sequence it was planned. This will bring the components together so that assembly kits can be issued to manufacturing without shortages. It is working to the plan.
 

Due Date

The job with the highest priority on the work centre is the one with the earliest due date. This rule can be applied to either the operation or the order due date. The objective is to meet the customer due date.

Planned Slack Time

In simple terms planned slack time is the time which has been built into the scheduling of an order in between each of the operation times, the majority of which is queue time. Slack time is used in several sequencing techniques.

Slack time rule 

This is defined as a dispatching rule which directs the sequencing of jobs based on; 

(days left x hours/day) - standard hours left = priority, 

eg (5 x 8) - 12 = 28.

The job with the highest priority is the job with the lowest remaining slack time.
 

Queue Ratio (Compression)

A simple definition is the remaining slack time divided by the remaining planned queue time.

Jobs with the smallest queue ratio have the highest priority.

Shortest Processing Time 

APICS defines the shortest process time rule (SPT) as a dispatching rule which directs the sequencing of jobs in ascending order by processing time. This means that the highest priority job is the one with the shortest operation time. The result is that the small quick jobs move fast and the jobs with a long operation time can stay indefinitely. Although it does not prioritise work to meet customer delivery dates it can be used to move work quickly onto a starving downstream work centre.

Non-Dispatch List Environments

In the traditional job shop environment, the dispatch list shows all the jobs to be started, lists the work in priority sequence and states the operation's start and completion date.

When work cells are introduced, or where product is produced in a flow process (continuous production) or in high quantities over a period of time (repetitive manufacture), work is produced to a schedule and not to works orders scheduled by operation. In these cases, the dispatch list is not appropriate and priority control and dispatching is controlled at the parent code by using a schedule with a run rate.
 

Your Decision

You must decide how you are going to set the priorities in your company. Verify the methods offered in your package, make sure you understand the logic each one uses, and then choose the one you believe is simple, practical and will be effective for you.
January 1998

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