Sample STP “Production Planning. Functions of the production plan Create a production plan

Regardless of the type of future business activity, the basis of the business plan is its production section. It can be less or more detailed, which is determined by the knowledge and practical experience of the compiler.

For example, during the liquidation of the former company, all positive developments are taken from there, which are subsequently adjusted taking into account the mistakes or oversights made. But most often this item has to start from scratch.

What should be included?

It is assumed that the industry of future economic activity is well known to the newly-minted businessman, otherwise at least one conscientious and faithful assistant will be required. If the enterprise is conceived alone, then one should begin with a comprehensive assessment of the prospects for the business for the next few years. As a result, a forecast of the demand for products or services in a given region is compiled and then analyzed.

If the result of the analysis is positive, the question of the prospects of the adopted technology should be considered - it should be at least 20-25% more perfect than its closest competitors. Special knowledge in this case weighs more than the services of a consulting firm: it is unlikely that the author of the business plan will immediately unfold the plan of the ideal enterprise to the slightest accuracy, most likely the consultants will limit themselves to general assessments of the degree of favorability of the business.

At the same time, it is characteristic that in almost all analytical notes the concept of a probabilistic assessment appears (“with a probability of 97% it can be assumed that ...”). You should always remember that the chance to get into the very 3% for which the analytical assessment did not work means not only wasted money, but also a delay in starting a business.

So, your own knowledge, capabilities and experience are the surest conditions for a successful business plan.

The technology selected for implementation predetermines the need for premises for the installation of production equipment, mechanization, warehouse equipment, etc. In this matter, it is worth evaluating both the location of production facilities and their composition.

The infrastructure of the future enterprise will also play an important role. Depending on the main technological processes, it will be necessary to have certain transport equipment, and not only trucks - many businessmen increase the prestige of their enterprises due to the convenient and quick delivery of their company's personnel to the place of work.

How you can simulate and optimize the production section using a specialized program - see the following video:

Selection of the main technological processes

The key features of the choice are not only the aforementioned 20-25% of equipment perfection, but also its availability and the possibility of using it in the specific conditions of the future enterprise. To do this, use the following sources of information:

• deployed equipment specifications, for which it is necessary to use information from the official websites of manufacturers, as well as objective results of using this device by consumers. If information from the sources of the first group should be considered more or less reliable, then individual consumers should be more careful in assessing the usefulness: sometimes a positive “cheat” of reviews is used, which are not always fair on verification.
• Practical assessment of the work of the closest analogues at enterprises of the same profile located in neighboring regions. At the same time, excursions to nearby enterprises should be avoided: no one is happy with potential competitors, and therefore the actual advantages can be presented as disadvantages, and in the worst case, access can be generally closed for various reasons.

In the process of making a decision on equipment, they are guided by the following operational advantages:

• Durability(warranty hours per failure): if this parameter is not among the basic characteristics, this may be a serious argument against purchasing this equipment.
• Availability of a network of service centers in the region: if it is, then the issues of installation supervision of the purchased equipment, as well as its routine maintenance during the warranty period, are automatically resolved.
• The degree of equipment versatility and its ability to perform a wide range of operations. In the conditions of work of a small enterprise, the serial production of products or the provision of services is often quite low. So that the equipment does not stand idle, it makes sense to use it for another purpose. Therefore, attention is often paid to the versatility of the unit circuit and to equipping it with additional tools or equipment.
• The presence in the design of nodes produced by subcontractors- their routine maintenance can be difficult if there is no dealer center of this enterprise in the region. Modern technical means imply high-quality maintenance of the units, without which the risk of forced downtime turns into significant losses and loss of prestige of the newly created enterprise.

Do not forget that the production section should also include the calculation of the need for the quantity and standard sizes of the necessary office equipment.

Production facilities: buildings and premises

Having determined the overall dimensions of the equipment, its technological layout is carried out in accordance with the course of the main technological process. When developing a planning solution, the following are taken into account:

• Direct-flow production, which excludes loops and returns of the semi-finished product.
• Compliance with industrial, hygienic and fire safety standards.
• Availability of optimal areas for warehouses: raw materials, interoperational and finished products.
• Placement of all auxiliary zones - ventilation units, air conditioners, power devices for lighting and heating the building, water supply and sewerage systems.

Equipment layout plan should be developed for the prospect of a possible expansion of production(usually the coefficient of reserve areas is taken within 10%).

An appropriate room is being searched for a ready-made planning solution. It is better if it already has built-in energy and sewerage systems. However, a number of energy carriers (for example, compressed air, hot water - both for heating and for technological needs) still have to be supplied independently.

Often, abandoned or rented large garages or vacant production facilities of converted factories are suitable options. Sometimes it is beneficial to conclude a lease agreement with the previous owners, which saves the new owner from many expenses. With the development of one's own business, the purchase of such premises is provided for by the leasing system itself.

During the selection process, pay attention to the following:

• Availability of natural light.
• The height of the room, which should provide for a technologically competent arrangement of equipment.
• Insulation of walls and roof, normal waterproofing, absence of cracks and deformations of the building.
• A reliable foundation that must withstand technological and vibration loads.
• The possibility of convenient travel and passage to production sites, as well as the export of finished products to warehouses or direct consumers.
• The degree of technological flexibility of the building, i.e. the possibility of its relatively inexpensive redevelopment in case of changes in the main technological process.

Vehicles

The production plan includes best choice both internal and external transport. In the first case, we mean various types of loaders, manipulators, conveyors operating on the territory of the enterprise itself. External transport means that which is used for the delivery of raw materials and materials, as well as for the export of finished products.

Internal transport is selected simultaneously when choosing the main technological processes and equipment.

For example, if automatic lines are to be purchased, then they usually include specialized vehicles. It is much worse to “save” on this and pick up transport separately: according to its production characteristics, it may not be suitable, as a result of which the productivity of the main equipment will decrease, and more personnel will be required.

The situation is different with external transport. In many cases, there is no need to purchase it: it is enough to rent it for a long time, or even conclude an appropriate service agreement with a transport company. This solves several problems at the same time:

• No need for a garage.
• The need for personnel who must deal with the daily qualified maintenance of this equipment is reduced.
• The need for energy carriers, fuel, consumables and spare parts will decrease.
• The cost of equipping production with fire-fighting and security equipment systems will decrease.

Production personnel

Since an increase in excess of the required staff negatively affects the cost of production, preference should be given to employees with experience in combining professions.

The staffing table is compiled for the already known composition of equipment and features of technological processes. The main categories of personnel are:

• Production staff, including also operators of internal transport.
• Office and management staff.
• Employees of supply and sales services (it is also permissible to include employees of warehouses here).
• Security service (although here it is more expedient to conclude an agreement with a specialized company).

The production plan is the established rules for the production of products or for the provision of services. They are necessary to ensure the stable operation of the company.

What is a production plan

The production plan (PP) refers to the administrative activities of the company. It includes various management decisions regarding the number of employees, the volume of raw materials used. The PP includes the following components:

• Work to be outsourced to a subcontractor.
• The optimal amount of purchased raw materials.
• Quality control of goods and services.
• unit cost of production.
• Usage .
• Analysis of existing premises, owned or rented, determination of the need for new space.
• Analysis of the staff: number, qualifications, salary.
• Marginal profit.

The exact structure of the production plan is determined based on the characteristics of a particular company.

What is a production plan for?

The main function of PP is to achieve the goals set by the enterprise. Consider all the tasks that the production plan allows you to solve:

• Attracting new customers, increasing the loyalty of representatives of the existing customer base.
• Full use of all available resources to meet the needs of consumers, reduce costs.
• Production of competitive goods, introduction of technological innovations.
• Improving the quality of products and services.
• Purchase of the optimal volume of raw materials of good quality at low prices.
• Creation of a reserve of resources in case of an increase in demand.
• Activities within the established budget.
• Decreased company loans.
• Reporting standardization.
• Detailing of available costs.
• Creating a strategy that will be relevant even in unplanned situations.

A production plan must be available in large companies.

Principles used in planning

When compiling the PP, it is necessary to be guided by such principles as:

• Continuity of planning: the plan is relevant throughout the entire production period.
• The plan is required in the execution of any of the forms of the company's activities.
• The principle of unity: PP must be systematic, taking into account the relationship between labor processes.
• The principle of economy: PP should be such as to obtain maximum results at minimum cost.
• PP must be flexible. That is, it can be changed if circumstances so require.
• The accuracy of the plan should be sufficient to achieve the goals set.
• Within the framework of the PP, all branches of the company are interconnected.

When drawing up a plan, you must also remember the principle of focusing on results.

How is a general document for a PP compiled?

As a rule, the production plan is drawn up for a year. It contains general production specifications. The basis for drawing up are forecasts regarding future demand for products, as well as a production load plan. When compiling the document, production rates, reserves, and the number of employees are calculated. When compiling the PP, it is necessary to form a general concept of the company's activities. For example, the document takes into account all, not individual product categories. There is no need to dwell on particulars.

A general production plan is required for large enterprises that manufacture a large range of products. For a small company, it will be enough to draw up a PP in the form of a work schedule.

IMPORTANT! The PP should reflect the key aspects of the enterprise's activities: the total number of employees, the established production standards.

The composition of the production plan

Consider the structure of the production plan:

1. Title page.
2. Content.
3. Basic information about the company.
4. Basic information about your products or services.
5. Organizational plan.
6. Marketing plan.
7. Production plan.
8. Investment plan.
9. Financial plan.
10. Applications.

The annex indicates additional information that may be required within the framework of the PP.

How is capacity utilization determined for a production plan?

LET'S CONSIDER AN EXAMPLE: the organization plans to manufacture garden carts. Marketing research is carried out to determine consumer preferences. Its results: among buyers, garden carts of the middle price category are most in demand. Market research data helps determine which products make sense to produce. After that, the volume of products to be produced is calculated. In this case, you need to focus on the estimated demand for carts. If demand is less than the volume of manufactured products, part of the production will simply remain unclaimed.

If the organization has been operating for a long time, it makes sense to compare the commercial demand forecast with the available capacities. This is necessary in order to determine the need for additional capacity. If such a need is identified, the list of required equipment should be indicated in the PP. The following information is also provided:

• Employee salaries costs.
• Availability of qualified employees.
• Electricity costs.

The significance of each of these indicators depends on the characteristics of the company's activities.

How to reflect the production process in PP?

In the manufacture of products, you need to determine the method of its production. When forming a PP, it is necessary to analyze the available equipment and technologies, and choose the most effective option. In this case, a choice is made between two forms of production:

• Low or high degree of automation.
• Standard or customized technology.
• The flexibility or performance of the system.

Most companies are suitable for the conveyor method of production. If the organization plans to work on special orders, other production methods will be needed. All these aspects must be reflected in the production plan.

Common Mistakes in Production Planning

Global errors in the preparation of the production plan lead to the fact that the document becomes completely irrelevant. Consider these errors:

• Unjustified increase in stocks in the warehouse. The purchase of raw materials in excess leads to the fact that part of the reserves remains simply unclaimed. This leads to the suspension of financial processes, an increase in the cost of maintaining storage facilities.
• Misuse of reserves. Assumes the direction of raw materials for third-party purposes. This leads to the fact that all goods are sold out, however, new raw materials have not yet arrived from the supplier.
• Increase in work in progress. In the event of urgent orders, a decision is often made to suspend production. This entails the suspension of work processes. The problem can be solved by refusing part of the urgent orders.

IMPORTANT! It is recommended to draw up the PP 1-2 months before the start of the financial year. If the financial year coincides with the calendar year, the formation of the PP should begin in early October. More than one specialist should work on the preparation of the production plan. Heads of all divisions of the company are involved in this work.

The production plan is a special section of business documentation containing detailed description technological processes. It is presented to investors for consideration. This paragraph should be given special attention, as it reflects the skills of the entrepreneur, and it evaluates the prospects of the business. Therefore, if a sufficiently serious event is planned with the involvement of third-party assets, the production plan in the business plan must be carried out professionally.

The calculations that accompany the production plan should be based on the projected volumes of sales and supply of raw materials. The most obvious will be to reinforce the information with a generated calendar (production table) for the supply of inventories, storage and shipment of finished products to retail or the end consumer.

The content of the production plan is based on the chain of transformations of input resources into the result of the technological process. Personnel, investments, equipment, raw materials will be used as capacities at the enterprise. At the output, the organization, according to the production project, must issue goods or services that will be in demand in the market and of interest to the consumer.

Features of drawing up a production plan

After the leading sections of the production plan are outlined, it is necessary to determine and predict the indicators used to justify professional calculations. On a standard business example, the following parameters are specified:

• The cost of utilities. Almost any production in a business requires the use of electrical networks, gas, water consumption and sanitation. When determining the production plan, the costs for the services of specialized companies are taken into account by month, quarter, year;
• Before drawing up a production plan for a business plan, it is important to determine the level of costs for paying wages to staff. It is quite possible that in the first year of operation this will be the largest item of expenditure;
• In the technological plan of business, it is important to lay the supply. For certain categories of production, various formulas for the cost and output of the ratio to sales can be used. The classic proportion of production in business is to calculate the profitability of 1:2. That is, if the cost of producing a unit of goods is 1 ruble, it should cost at least 2 rubles in the end.

In addition to the costs included in business planning, the company's revenue is also taken into account. This includes marginal profit, efficiency in attracting qualified specialists and return on investment. It will also be important to reflect the impact of production costs on the business.

Classification of production plans

Before you start working on a paragraph, you need to decide on the type of end result. This can be an aggregate section of the production business plan, a leading work schedule and a supply plan. According to the frequency of development, they can be short-term (up to 2 years), medium-term (up to 5 years) and long-term (from 10 years and longer). When planning the creation or expansion of a large firm, it is recommended to work out all types of production process plans. This will best reflect the picture of profitability.

Contents of the "production plan" section

The structure of the descriptive part of the technological process is inextricably linked with the expenditure of investments and the further distribution of finances to own working capital. Considering the features of the production plan, the following structure is used in the preparation of project documentation:

• Description of the main production technology that is used to manufacture the target product according to the plan. In this part of the project, all stages of the technological process are described in detail - from the purchase of raw materials to the sale to the consumer. If the workflow planning is based on a unique manufacturing method, the costs and time for patent approval should be factored in;
• Description of the algorithm for the purchase of raw materials, leading suppliers, the cost of inventories. In the description of the production plan, it would be advisable to include the organization of transportation, storage and delivery to the production line, as well as methods for the disposal of waste raw materials;
• Description of the involved premises, territories, land plots. In conditions of limited resources for opening an IP, it is advisable to attract capacities, transport on a lease basis.

The production part of the business plan contains the procedure for supplying energy resources or a plan for upgrading existing engineering networks

This section should also include calculation rules for determining the cost of finished products.

It is important to consider that the number of technical and economic indicators of the business plan includes fixed and variable costs of the enterprise.

Production resources and implementation program

A typical classification of technical supply allows you to most accurately determine the sources of consumption in order to justify the volume of production in the business. In most cases, project documentation developers adhere to current standards. What refers to the resources described in the program of production and sale:

• Material supply - working capital, capital, land and energy supply;
• Resources are intangible. The production plan of the enterprise according to the model includes a description of patents, copyrights, brands and software used;
• The staff is presented as a key resource in any business idea to fulfill the current and future tasks of the enterprise;
• The business plan should reflect the calculation of the need for labor resources, including the burden on the factor of entrepreneurial ability and the administrative apparatus;
• In the central section of the production plan, funds are taken into account by various sources of origin. It can be the money of the founders, current assets of the enterprise, attracted investments. The material factors of production have a direct impact on the company's processes. If they are insufficient, the risk of supply cuts or inability to sustain the viability of other resources increases.

The implementation program includes economic calculations of profitability, quality indicators of fixed assets, the amount of equipment depreciation and other figures.

Justification of the premises

Places (place) of concentration of production capacities should at least correspond to the specialization of the organization in the chosen direction. Along with the choice of equipment and technologies, the space used will be of particular importance. Buildings suitable for functionality (idle factories with similar characteristics) can be selected as a business location, or a project for the construction of a new factory can be drawn up.

This should include calculations for storage facilities, boxes and other types of premises that will be used in business activities. As part of the documentation, it is also worth considering the existing engineering networks and their suitability or the arrangement of new communications.

Transport selection

Sample business plans often contain calculations for the delivery of supplies or the delivery of finished products. The fleet is not always profitable for the maintenance of a non-core company. Auxiliary vehicles of universal application can play an important role in the development of business in production. Used cars (like a gazelle) are great for meeting current business needs. Own car will save on the services of carriers at least for the first time.

The organizational plan of a business associated with large volumes of production will require the purchase of a fleet of vehicles. This may be a special technique or a shipment order. In the early stages of development, there is the possibility of attracting private carriers, for example, for one-time shipments. Attracting services on such conditions will save about 30-40 percent of the budget on transportation.

Human resources and recruitment

Before defining the main technological processes, it is important to plan personnel reserves. In the harsh realities of business, leaders of young enterprises often resort to outsourcing services. This method of recruitment allows you to optimize the financial burden on the budget and adjust the development strategy until permanently working professionals are found for full-time positions. Outsourcing is one of the ready-made examples of acquisition, when an enterprise receives uninterrupted resources on contractual terms.

In the case of the recruitment of workers, it will be necessary to provide time and costs for training in the overall production plan. Depending on the direction of the company's activity, it will be necessary to draw up a horizon for reaching the required percentage of qualified specialists (critical for self-regulatory organizations and enterprises implementing a quality management system).

Environmental Safety

For a modern enterprise, environmental safety is not just a careful attitude to nature. Today it is a whole complex of measures for the organization of storage, use of processing of raw materials with subsequent categorization. By definition, the concept of environmental safety includes research in the field of environmental impact. Without obtaining special conclusions from supervisory authorities, it will not even be possible to start production. The plan includes the position of an engineer for technosphere safety, the cost of one-time services of environmental agencies, various contributions and fees.

Cost Forecast

When developing a production layout, it is extremely important to predict the costs of the enterprise. It is unlikely that the administration will get something for free. Equipment, machines, vehicles and other facilities can be purchased at the expense of investors or rented on the terms of the owner. Wages cannot be delayed, so wages will also be included in the cost items. You will need to plan for both overhead and unforeseen expenses. To keep things from looking gloomy, a revenue forecast is included in the draft production plan. The difference between the planned indicators will be the cost forecast.

In anticipation of the launch of the business, leaders have a titanic work. In the course of cooperation with capital owners, it will be necessary to report not only at the stage of obtaining investments, but also during the development of directions. Therefore, the attitude of the co-founders directly depends on the quality of the business plan, especially since financing can be arranged in tranches.

The basis for planning the work of any enterprise is the production plan. This document fixes the volume and procedure for the production of goods or the provision of services with related characteristics: the volume of raw materials used, cost, labor costs. Consider how a production plan should be drawn up, what goals it serves, what must be reflected in this document and its sample.

A production plan is a document by which the management of an enterprise organizes work and controls the labor process, the consumption of raw materials and energy, and the employment of personnel. The production plan is the basis of the company's activities. Without it, it is impossible to effectively control the enterprise, track profits and losses, and find ways for optimization.

Such a document sets a task for each department/structural unit. The production plan is drawn up at each enterprise independently. To find ready template virtually impossible: each organization has its own specifics. At the same time, there are generally accepted approaches and algorithms for compiling this document. Their use greatly simplifies the procedure. It is also important to know that you cannot write planning once and use it all the time. The document requires regular updating.

Work according to the production plan is more promising

What does he give

Any production plan serves several purposes simultaneously:

1. Determination of the number of units of goods and services needed to make a profit.
2. Planning a specific amount of profit, the ratio of expenses and income, any other important financial indicators.
3. Evaluation of the efficiency of the use of resources and raw materials.
4. Quality control. It is possible to fix in the document specific characteristics goods and get them.
5. Planning the cost of raw materials.
6. Search for ways to optimize the process and work options.
7. Power control.
8. Monitoring the efficiency of the use of labor resources.
9. Evaluation of sales effectiveness.
10. Development of optimal ways to use the budget.
11. Reporting standardization.

Thus, the list of tasks to be solved by the production plan is very wide. In addition, depending on the wishes of the management, any other indicators and goals for structural units can be included in the document. The document helps to develop a development strategy - a list of specific actions of the enterprise necessary to achieve the goals of the work. The plan helps to allocate resources efficiently.

Varieties of production plans

All production plans can be divided into the following types:

1. Short-term - 1-2 years. They are divided into quarters and semesters. Establish what goals the company must achieve during the year.
2. Medium-term - from 2 to 5 years. The main goal is to determine the organizational structure, the number of employees, capital investments and production capacities, the volume of annual income and growth dynamics, the need for investments and loans.
3. Long-term - from 10 years and above. The goal is to develop an economic strategy, determine the place of the organization in the market, position among competitors.

The long-term plan is specified in the medium-term, the medium-term - in the short-term. All three plans must be consistent with each other. They cannot contradict each other. Planning should provide for the dynamics of development. From the documents it should follow what indicators the enterprise will consistently achieve.

Large organizations make up all 3 types of plans, smaller ones - only medium and short-term. The work of any enterprise, especially one that produces material values, without a plan is inefficient. A development strategy is needed even in services and trade.

Drawing up a plan is best left to specialists with specialized education.

Features of drawing up a plan

The production plan is not one document, but several at once. The most standard set includes:

1. A plan for the main activity, fixing the goals of the enterprise, categories of goods and volumes of their production.
2. Schedule of work - a list of categories of goods indicating their quantity, cost, raw materials needed. Dynamics of production - how much goods to produce and sell in each month, in each year.
3. Table of the company's needs for funds, investments, loans.

Among the important indicators that the plan of any production enterprise should fix are:

• tariffs for utilities, the cost of their payment;
• wage fund;
• consumption of raw materials per unit of goods or services;
• production process technology;
• marginal profit;
• availability of specialists with a certain level of qualification;
• the amount of borrowed funds, the amount of interest.

Identification of capacity utilization

Determination of capacity utilization - that is, the optimal methods for using equipment and raw materials to produce the maximum volume of production - is one of the most important parts of the production plan. How is it calculated?

1. They determine the categories most in demand on the market and specific models of goods.
2. Calculate the amount of resources that must be used to manufacture one unit.
3. Predict the number of units of goods that can be sold in the shortest possible time.
4. Determine how many units of goods and in what terms the existing equipment can produce.
5. They analyze how long it takes to produce the required batches of goods on existing equipment.

This is a simplified power calculation algorithm. As a rule, these operations are trusted by professional economists. To correctly calculate modes, you need to know the productivity of the equipment, the speed of the staff and the consumption of raw materials. This process is associated with planning and guessing the market situation. It is almost impossible to establish the exact required volume of production. Success is considered to achieve the indicators closest to reality.

Sample production plan indicating the units of production for each month of work

Reflection of the production process

Any sample production plan for an enterprise must necessarily include a description of the production process: both globally and with respect to each product model. Only accurate fixation of the entire process will help to plan and optimize the work correctly.

It is most convenient to reflect the production process in the form of a diagram, where each action will be displayed in stages.

A clear flowchart showing the equipment, personnel and raw materials involved will help management evaluate the effectiveness of the existing workflow and, if necessary, find ways to improve. Based on the analysis, best practices can be determined.

Operating schedule

The production plan includes a section that describes the work schedule, namely:

• number of shifts, duration;
• number of days off / no days off;
• the number of employees in a shift;
• expected productivity of each shift.

Room or area for equipment placement

Such a document describes all available premises with an indication of their purpose. It is necessary to fix the area, ceiling height, condition (whether repairs are required), connected communications, entrances, exits, windows, if necessary, describe the finish. Make a conclusion about the suitability of the premises for production in the medium and long term.

If the analysis of the premises shows that it is unsuitable for increasing productivity, the search for suitable real estate with specification of specific requirements should be included in the medium-term plan. It is important to reflect the advantages and disadvantages of the existing workshop in order to achieve maximum profit.

The enterprise can plan the opening of new shops, the creation of representative offices in other regions - all this must also be fixed in the medium and long-term planning. Mandatory with a description of the requirements for real estate.

The drafters of the plan independently think over its structure

Need for materials and suppliers of raw materials

Planning helps to use resources wisely, but only if it contains information about materials and their suppliers. Information about the quality and cost of raw materials will help evaluate the quality of products and the feasibility of working with a particular supplier. Information about the conditions of work with counterparties will help, if necessary, to quickly predict how a change in the price of any of its goods will affect production.

The most convenient way to describe the need for materials and their suppliers is tables for each product. Specify:

• weight/color/size of goods;
• its key characteristics;
• full composition indicating the volumes of raw materials used;
• the possibility of replacing any components;
• supplier information;
• the price of each component.

fixed costs

An important section, which will present a list of fixed costs similar to most enterprises:

• rental of premises;
• Communal expenses;
• raw materials and starting materials;
• taxes and obligatory payments;
• logistics and transport;
• wage fund.

The document should record the current and planned values ​​of each expense, possibly indicating acceptable limits. This approach will help make the plan more flexible, adapted to changing market conditions. Knowing the allowable limits of each direction of fixed costs will help, if necessary, to more quickly regulate product prices.

Production cost

The manufacturer necessarily considers the full cost price for each of his goods. Without knowledge of this indicator, it is impossible to correctly select the price, which means that it threatens with losses. To calculate the total cost, add up all the values ​​​​of the spent resources:

• source materials;
• equipment depreciation;
• utilities and other energy costs;
• employee's salary;
• management staff salary;
• insurance premiums;
• transport costs;
• advertising;
• marketing expenses.

Production plan example

A typical example of a 1 year production plan is shown in the image below. It is made according to the most common structure and reflects the most important indicators for the manufacturer. You should not use other people's plans, but you can analyze them and adapt them for your own production.

Production plan option

Common mistakes

The most common mistakes in compiling such a document are incorrect accounting for the consumption of materials, incorrect assessment of the capacity of equipment, and an overestimated expectation of demand. These inaccuracies are detrimental to the content of the document: it is less connected to reality. An incorrect development strategy, built on erroneous calculations, will inevitably lead to bankruptcy.

Therefore, it is extremely important to monitor indicators as accurately as possible and, if necessary, adjust them. The more the company will monitor the content of the production plan, the more likely it is to achieve the optimal ratio of income and expenses.

When planning, it is extremely important to take into account the possibility of sudden events: equipment breakdown, a large private order, or a disruption in the supply of raw materials. The company must have measures in place for each such case. It is wiser to initially set lower indicators, not at the limit of the equipment's capabilities, but with success, slightly increase them.

Control over the implementation of the plan

The implementation of the control plan is carried out by virtually the entire management of the enterprise in its area of ​​​​responsibility. So, the head of production controls the production of the required batch of goods within a specific time frame, the head of the supply department monitors how much raw materials they need to receive and ship every day, and so on. Control over all areas and the implementation of the plan as a whole is the responsibility of the head.

A prerequisite for the success of economic activity is its implementation in accordance with the developed plan. It allows you to predict the situation and seamlessly navigate the implementation of an entrepreneurial strategy, and, if necessary, correct it. What is the production plan of the enterprise, what is it formed from and how to draw it up?

What is a production plan

general information

A document that displays information about the organization of the subject's activities and its control at all stages of the company's functioning is called a production plan.

It lays down the basic working positions of the organization, which must be guided by in order to achieve the goal. The planning elements displayed in the documentation make it possible to ensure effective control over the work of all structural divisions of the company, determine the amount of expenses incurred and compare them with planned and actual profitability indicators.

Depending on the scale of the company's functioning, its activity plan can be drawn up for the entire enterprise as a whole or broken down into its structural divisions. The document is developed at each enterprise by independently responsible specialists under the control of management. Due to the specifics of the work of each business entity, it is impossible to find a ready-made plan template in any sources. However, in practice there are generally accepted algorithms for compiling documentation, the use of which greatly simplifies the procedure.

The validity period of the plan developed and approved by the management is not regulated by a specific date, since it requires constant adjustment with the slightest change in the functioning of the company. It can be classified as a permanent regulation of the enterprise, which is relevant at the time of consideration, for which the responsible persons are responsible. In it, a business representative should cover the entire range of activities necessary to ensure activities, including the organization of the production process, the implementation of labor results, as well as the necessary human resources, machinery and equipment.

A competently executed document will allow you to effectively predict activities and evaluate its prospects. It should cover all aspects of the functioning of the company in terms of volumetric and qualitative assessment. The entrepreneur and the person interested in his activities must find in the documentation the answers to all possible questions related to the work of the subject.

Compilation purposes

The production plan in the business plan, an example of which can be found in the resources of the worldwide network, is drawn up with the aim of effectively organizing the work of workers, as well as the rational use of resources, the operation of equipment, which will ensure maximum productivity. The purpose of its compilation is to plan:

• arrived;
• ratio of expenses and incomes;
• the number of units of products or services rendered for profit in a certain amount;
• financial indicators;
• raw material costs.

From the contents of the document it becomes clear how the quality control of products is carried out, what requirements are imposed on it, and where they are regulated. When compiling a document, a business representative lays down in it the procedure for optimizing the process, controlling its capacity and using labor resources, as well as evaluating the effectiveness of the sales service.

Types of production plans

Contents of the "Production plan" section

Depending on the timing of planning, there are three types of production plans that differ in coverage of time parameters. They are short term, medium term and long term. The need for their compilation is determined by the scale of the activity of the business entity.

Short term

Short-term production plans are drawn up for a maximum of two years. They can be broken down into monthly, quarterly or semi-annual periods.

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medium-term

The medium-term production plan is a document that takes into account the activities of organizing and controlling the functioning of the company for 2-5 years. Its purpose is to determine the optimal parameters of production activities. The document should disclose the issues of determining the number of employees required to ensure the production of the planned capacity. It identifies the organizational structure, the volume of capital investments and annual income received, and also reveals the need for loans or investments.

Long term

Long-term plans are drawn up for a period exceeding a ten-year period. Their goal is to form an economic strategy that allows you to determine your place in the market for the provision of similar services, as well as to reach a competitive level. Long-term plans are always specified at the expense of the medium-term plan, and the medium-term plan is refined by data from the short-term plan. All three types of document must be coordinated with each other. They should not contain contradictions.

Document structure

The business plan of the enterprise should be drawn up in such a way that the investor who decides to get acquainted with it can obtain information about the production and the nuances of its technological processes.

The document should disclose information about the equipment used and the number of personnel serving it. The content of the documentation should clearly display the parameters and characteristics of a business entity, under which its manager will be able to produce high-quality products in the planned volume. It should also confirm the expectations of the partner that the contractor will be able, if necessary, to quickly adjust the production process and cope with the task within the time specified in the contract.

Section structure

It is important to display in the document whether the enterprise is operating, or whether it is at the stage of an implementation project. It also needs to include a marketing plan for finished products, taking into account the timing and planned costs for this stage of activity.

Manufacturing process

In the section reflecting the subject of the production process, it is necessary to disclose all the stages of the technology, taking into account its nuances. It should reflect the list of raw materials and consumables, with information about their suppliers and methods of delivery. You also need to specify the scheme for implementing the results of activities and ways to promote the project.
When conducting trading activities with the opening of a store, an entrepreneur needs to reflect in the plan the procedure for delivering goods, placing them in a warehouse and a showcase, as well as ways to sell them.

Raw material

In the section that reveals the issues of raw material supply, it is necessary to list the types of raw materials and materials used, the requirements put forward for them by regulations and technology regulations, as well as methods for quality control. When planning their storage and transportation, the order of such operations should be specified. It is necessary to list the suppliers with whom cooperation is planned, as well as provide for their alternative options, which may become relevant in case of violation of the timeliness of deliveries.

Property objects

The plan must indicate the basis for the right to dispose of the building, equipment and land necessary to ensure the work process. Objects may be in the personal ownership of an entrepreneur or legal entity, or be leased. For clarity, it is necessary to display the registration information of the document giving the right to use or operate the object for profit.

The document must include a plan for the location of premises with different purposes. On the diagram, it is necessary to separately highlight the places of storage of raw and finished products and the placement of equipment.

If at the time of drawing up the plan, the entrepreneur has not decided on the operational facilities, then the document must indicate the requirements for the entrepreneur to their parameters.

It should also contain information on the terms in which the issue of renting or purchasing, as well as installation of equipment, must be resolved. A separate subsection should reflect the actual or planned amount of money to invest in a purchase or lease. All financial information related to property objects must be included in the investment section of the business plan.