The Five “Must Haves” for an Advanced Production Scheduling Solution
Today’s large-scale manufacturing supply chains are more geographically distributed than ever. They produce more diverse, customized products than ever. Operating costs are skyrocketing. Material shortages are creating supply uncertainty. And manufacturers are facing unprecedented demand volatility.
Creating predictable, stable, and profitable production plans under these conditions seems nearly impossible. Automakers and other large-scale manufacturers are often challenged to match their traditional lean production approaches with today’s complex business landscape.
The good news? More manufacturers are discovering the value of using advanced production scheduling (APS) software. APS solutions combine the discipline of lean manufacturing with the flexibility and real-time scheduling agility needed to accommodate constant upstream and downstream changes.
Powered by artificial intelligence (AI), modern APS solutions enable manufacturers to replan profitably and quickly as conditions change. APS software autonomously and continuously creates smart, flexible production plans that reflect real-time data, predefined rules and guardrails, and advanced decision logic. They are purpose-built to manufacture the right product at the right place at the right time to fulfill customer demand, while also maximizing profitability and resource utilization.
It is not surprising that the market for APS solutions is exploding. Valued at $1.3 billion in 2023, the global APS market will reach $3.4 billion by 2033, reflecting an annual growth rate of 10%.
Today many software providers are competing for a piece of this market — some more qualified than others. In this increasingly competitive environment, how can you choose the right APS solution? Following is a discussion of five “must have” capabilities that distinguish the leading APS solutions from the followers.
1. Real-time visibility, to support real-time planning
One of the most powerful features APS solutions offer is real-time visibility and awareness. As they ingest real-time data from across the end-to-end supply chain, as well as external sources, APS solutions create a single version of the truth that is shared across all functions. That real-time visibility is the foundation for real-time, collaborative planning that reflects a “good for the business” mindset and mediates any conflicts. For example, the sales team is constantly receiving new orders, some of which are a high priority. If that data is siloed, then production could be disrupted hours later, when planners get the information, to accommodate new priorities. Or machines could be sitting idle until new sales orders catch up with the production plan. Conversely, the sales team might not know when an assembly line is down, which affects their customer promises. With real-time, shared visibility, production planners and the sales force can collaborate seamlessly and create what-if scenarios. Production plans can be continuously updated to reflect new orders and emerging priorities in real time. Via APS decision logic, profitability and resource utilization are always maximized, automatically and effortlessly.
2. Smart slotting and sequencing, for seamless orchestration
Advanced scheduling solutions need to slot and sequence orders accurately to further boost revenues, profits, asset utilization and customer satisfaction. Speed is an essential component of an efficient production line, but so is orchestration. Imagine if an entire automobile was fabricated — except it was missing an engine or a windshield. Across complex, multi-component manufacturing environments, the right APS solution will support AI-enabled workflows for rapid, responsive replanning across all product systems, components, and assembly lines. As conditions change, the order slotting and scheduling modules within the APS solution should make automatic adjustments to midterm plans and find the optimal schedule for meeting demand profitably. For example, Blue Yonder recently helped a top automaker implement agile, digital slotting and sequencing capabilities to launch and orchestrate two new vehicle lines, three engine lines and related axle production. The complex scheduling process considers different order types, separate throughput times per order, a variety of process flows, and a high degree of special case orders. Agile APS capabilities, including slotting and rescheduling, allow the manufacturer to easily monitor current factory status, as well as all planned and unplanned orders. The result is a stable production line with extremely customer-specific sequencing that optimizes workflows in real time.
3. A modular architecture that enables fast, easy implementation
Monolithic, multi-year software implementations are a thing of the past. Who has time to disrupt the production environment and wait years for results? Large-scale manufacturers should look for an APS software provider that is invested in a modular, composable approach based on microservices. A rapid launch, as well as forward-looking flexibility, are essential for manufacturers to meet their fluctuating needs. APS software that is delivered as a microservice enables fast, modular deployments and seamless extensibility over time, as new capabilities can easily be added on top of the existing tech stack. Cloud-native APS solutions that run on a popular, established platform like Microsoft Azure result in fast, simple, and scalable implementation across the organization — while also delivering unparalleled computing speed, data security and ease of integration.
4. Shopfloor awareness, for continuous improvement
Shopfloor monitoring takes the real-time functionality of APS software one step further. The minute-by-minute status of the shopfloor is a crucial part of balancing and smoothing production flows on an ongoing basis. A top-tier APS solution will be able to ingest real-time data and alerts on weight, maintenance time, operating hours, or errors from radio frequency identification (RFID) units, robots, grippers, and other devices that are directly integrated into the planning platform. This data can be sent to the manufacturer’s cloud and used as an input when sequencing production orders. Over time, the collected data can also help manufacturers better understand their needs for slotting and scheduling, as well as adjust forecasts accordingly.
5. Connectivity that enables real-time information exchange
The use of shopfloor devices and sensors is just one example of the need for integration of the APS with other systems in the business. Manufacturers should look for APS software that is built to network with other technology systems and solutions in a flexible, modular way. Integration and connectivity give planners the ability to “look under the hood” of the organization in real time, on demand. Integration also enables manufacturers to leverage the full functionality of the APS. For example, sequencing solutions are built to not only resolve the nodes of order scheduling, but also to take in consideration plans from S&OP, Order forecast generator, or give production plans to Logistics (e.g., Network planning, Transportation planning) to adjust continuously. Look for APS software solutions with open interfaces to exchange information with other systems.
Your search ends here, with Blue Yonder
The ideal APS software provider will not only offer these five capabilities but will also be able to demonstrate their proven results with large-scale manufacturers. Blue Yonder offers all the planning and scheduling functionality needed to manage uncertainty, replan dynamically, and make data-driven decisions that optimize cost, service, productivity, and other outcomes. And we have helped the world’s leading automotive companies, as well as other manufacturers, successfully balance production stability and planning flexibility. Learn more by reviewing our Guide to Production Planning in Manufacturing, or contact Blue Yonder today.