What's the linkage between planning and scheduling? Slow loop/fast loop integration
In an earlier post I made some observations about the distinction between planning and scheduling. In terms of complex production organizations, planning is generally done in a “slow loop”, and establishes targets for the operational side of the organization to follow. Scheduling is then done in a “fast loop” at an operational level to allocate assets and resources so that these targets are met. The slow loop planning process (plan/execute/assess) might be invoked, say, once a quarter, while fast loop scheduling (schedule/execute/assess) will be done much more frequently (sometimes every day, depending on the situation, equipment reliability, weather conditions, and so on).
Ideally, the slow loop and fast loop should be integrated so that, as schedules are created and updated at an operational level, there’s direct linkage back to the slow loop planning cycle. Integration like this would provide management with timely insight into what’s really going on in operations, and would optimize asset performance against targets. Corrective action could be taken, and plans be reformulated, as conditions on the operational side change: in other words, there’d be a very effective feedback loop that brings planning and scheduling together, and that links operational execution much more tightly to the organization’s strategic goals.
In most organizations, this degree of integration doesn’t exist. The slow and fast loop run somewhat independently, and the ability of the organization to respond in a truly effective way to operational variations is compromised. Applications used in the slow and fast loops are different, and the fast loop scheduling process is focused more on keeping things running than on scheduling against targets. For example, when some sort of operation disruption occurs (such as equipment breakdown), rescheduling is done, but the value of the updated schedule—in terms of meeting targets—-is very hard to understand. Things may appear to be fine, but some time later it will become obvious that target achievement will be challenging.
Production organizations have to find solutions that bring tighter integration between the slow and fast loops. In particular, alignment around targets needs to be addressed in the fast loop scheduling world. Production management needs tools that couple operations directly with organization goals, so that they know how they are doing on an ongoing basis, and can report back to the slow loop in a timely manner.
This will ensure that assets are better positioned to achieve optimum performance, and improve organizational agility and responsiveness.
