Track: Production Planning and Control

Abstract

This report focuses on research done at XYZ Transmission Plant case lines. The study was conducted in order to develop a methodology for improving the manufacturer’s ability to forecast and predict the variation of demand throughout the year. The current forecasting model is to simply look at historical data to determine how much demand for the 8 speed and 9 speed transmission case will be required on an annual basis. The current forecasting model in placed at XYZ transmission plant has brought problems due to ineffective forecasting that has resulted in product stock outs and loss of sales. Economic order quantity and forecasting guide to control and reduce the product stock outs.  The forecasting method used is the rolling average method, which takes previous historical demand and calculates the average for the next forecasting period. CNC is a computer numerical control machine tool which uses a programmed control system of an automatic machine tool.  This control system is able to handle with the programs which have logic control code or other symbols in accordance with procedures prescribed by the instruction. The purpose of this research is to develop the capability to integrate seasonality and other variation into a model, which will allow for more rigorous and accurate forecasting.