You will need
- - production plan or business plan.
Set forecast targets for the production and sale of products. The targets on the main range of products you need to take the data identified in the strategic business plan or the production plan of the enterprise. The production plan is usually developed at the beginning of the reporting period and approved by the Director. The production plan should include not only projections for the period, but also the need for financial resources for the achievement of the targets.
Determine the total actual volume of output read out in the implementation plan of the reporting period. To do this, consider the data on gross output of the enterprise, that is all produced and sold finished goods, including WIP, and completed projects of the company. To obtain reliable estimates of the execution of the production plan needs to analyze the percentage of execution plan for the main products and of unfinished production.
Calculate the percentage of implementation of the plan for the main range of products and of unfinished production. Index execution plan in this case is calculated as the ratio of the total actual production volume related to the implementation of the plan, the total planned output identified in the business plan or the production plan of the enterprise. Level execution plan expressed in percentageAh.
Analyze the resulting data for the percentageat the execution plan and compare it with the data for the last reporting period. The result of this analysis can determine the level of increase in the level of implementation of the plan in this reporting period compared to last. If the growth rate is negative, it is necessary to identify the causes that negatively affected the implementation of the plan, and to develop specific measures to improve enterprise performance.