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Generating Optimised Production Plans (Cutting & Scheduling)

Table of Contents

This guide is designed for production planners, scheduling managers, and operations leads who organize the daily or weekly manufacturing schedule - particularly those planning cutting of long products (rebar, beams, pipes, etc.). Learn how to use GoSmarter’s Long Product Production Planning feature to create first-draft cutting plans that minimise waste and meet order requirements efficiently.

Overview

The Challenge

Planning cutting sequences to fulfill orders with minimal scrap is complex:

  • Manual planning takes hours - Calculating optimal combinations of cuts from available stock
  • Suboptimal patterns waste material - Without optimisation, scrap rates can be unnecessarily high
  • Changing requirements complicate planning - Late orders, stock changes, or rush jobs disrupt carefully planned schedules
  • Difficult to balance competing goals - Minimise scrap, meet deadlines, use available stock efficiently

How GoSmarter Automates This

GoSmarter’s AI-powered Production Planner:

  • Computes optimal plans in minutes - What might take hours manually is done automatically
  • Minimises scrap - Intelligent algorithms find the most efficient cutting patterns
  • Handles complexity - Manages multiple orders, different stock lengths, and various constraints simultaneously
  • Provides flexibility - Planners can review, adjust, and re-optimise as needed

Proven Results

In trials, users achieved 50% scrap reduction when using GoSmarter’s automated planning vs. manual planning. This demonstrates the optimisation is not just faster, but significantly more effective.

Scope

This tool is specifically designed for long products - materials where length is a primary dimension:

  • Rebar (reinforcing steel bars)
  • Structural beams (I-beams, H-beams, etc.)
  • Pipes and tubes
  • Bar stock
  • Profiles and sections

The tool creates a suggested cutting schedule which planners can review and adjust before execution.

Preparing Input Data

Before generating a production plan, ensure the required data is in GoSmarter:

1. Open Orders

The planner needs to know what you need to produce:

  1. Navigate to Orders (see Orders Management Guide)
  2. Verify all orders for the planning period are entered:
    • Required lengths and quantities
    • Material specifications (grade, diameter, etc.)
    • Due dates
    • Any special requirements
  3. Mark orders as “Ready for Planning” or similar status

Tip: If you have many orders to enter, use the bulk upload feature (CSV import) to save time.

2. Available Stock Inventory

The planner needs to know what raw materials are available:

  1. Navigate to Inventory (see Inventory Management Guide)
  2. Ensure current stock levels are accurate:
    • Stock lengths available (e.g., how many 12m bars you have)
    • Material types and grades
    • Quantities on hand
  3. Update any recent deliveries or usage

Data Quality Matters

The plan’s quality directly depends on accurate input data. If inventory levels or order details are wrong, the plan will be suboptimal. Make it a practice to verify data accuracy before running the planner.

Running the Plan Generation

Once input data is ready:

Step-by-Step: Generate a Production Plan

  1. Navigate to Production Planning → Cut long products
  2. Click + New Plan or Generate Plan
  3. Configure plan parameters:
    • Date range - Which orders to include (e.g., “Orders due this week”)
    • Stock selection - Which inventory to consider (e.g., “All available rebar stock”)
    • Optimisation goal - Minimise scrap (default), minimise cuts, or balanced
    • Constraints - Any special rules or priorities
  4. Click Generate Plan
  5. Wait for processing (typically 30 seconds to 2 minutes depending on complexity)

Processing Time

Large or complex plans (many orders, many stock options) may take a couple of minutes to compute. This is still dramatically faster than manual planning, which could take hours for the same work. The system is doing thousands of calculations to find the optimal solution.

What Happens During Generation

GoSmarter’s AI:

  1. Analyses all orders - Understands required lengths, quantities, materials
  2. Evaluates stock options - Considers all available stock items
  3. Calculates combinations - Determines how to cut each stock piece to fulfill orders
  4. Optimises for minimal waste - Finds patterns that minimise leftover scrap
  5. Handles constraints - Respects priorities, deadlines, material requirements
  6. Produces cutting instructions - Generates a detailed plan of which cuts to make

The result is a comprehensive cutting schedule optimised for efficiency.

Viewing Details

Click on any line in the plan to see:

  • Visual representation of the cut pattern
  • Specific order details for each piece
  • Alternative patterns considered (if available)
  • Certificate information for the stock (if linked)

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Reviewing and Editing the Plan

The Planner as a Suggestion Tool

Important: GoSmarter provides an optimised suggestion. Experienced planners should review and can adjust based on:

  • Shop floor realities (machine availability, operator skills)
  • Material considerations (prefer using older stock first, etc.)
  • Schedule constraints (certain orders need to go first)
  • Quality requirements (specific heats for certain customers)

The AI handles the complex maths; you add the practical expertise.

Handling Deviations

What if something goes wrong?

Issue: A stock bar is found to be defective when operators start cutting.

Action:

  1. Mark that stock item as “Unable to use”
  2. In GoSmarter, click Replan for affected orders
  3. System suggests alternative stock to use
  4. Print revised instructions for those cuts

Issue: An urgent order comes in after the plan is finalized.

Action:

  1. Add the new order to GoSmarter
  2. Either:
    • Run a separate plan just for this order (quick, simple)
    • Re-run the full plan to re-optimize with the new order included (better overall efficiency)
  3. Adjust shop floor schedule to accommodate

Flexibility

Manufacturing is dynamic. The planner is fast enough that you can re-run it when conditions change, rather than being locked into a plan that no longer fits reality.

Inventory Updates

After cuts are completed:

  1. GoSmarter can automatically:
    • Reduce used stock from inventory
    • Mark orders as fulfilled or partially fulfilled
    • Add offcuts to offcut inventory (if configured)
  2. Verify updates are correct
  3. Any manual adjustments can be made

This keeps inventory data current for the next planning cycle.

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Best Practices for Production Planning

1. Run the Planner Consistently

Recommendation: Run the planner at the same time each day (or week) with the latest data.

Benefits:

  • Establishes a routine
  • Ensures plans are based on current orders and stock
  • Allows production team to expect and prepare for new plans

Example Schedule:

  • Every morning at 8 AM: Review new orders, update inventory
  • 8:30 AM: Run planner for the day’s production
  • 9 AM: Distribute plan to shop floor, production starts at 9:30 AM

2. Maintain Accurate Stock Data

The plan is only as good as the inventory data:

  • Update stock levels immediately when new deliveries arrive
  • Record usage after each production run
  • Regular physical stocktakes to verify data accuracy
  • Investigate and correct discrepancies quickly

See: Inventory Management Guide for best practices.

3. Use Actual Scrap Data to Improve

After executing plans:

  1. Compare planned scrap vs. actual scrap
  2. If actual is consistently higher than planned, investigate:
    • Are there cutting inefficiencies (blade waste, operator practices)?
    • Is stock quality causing more waste than expected?
    • Are machines calibrated correctly?
  3. Use insights to:
    • Improve shop floor processes
    • Provide better input parameters to planner
    • Adjust stock purchasing

See: Scrap Reduction Guide for detailed scrap analysis.

4. Handle Late/Rush Orders Strategically

Option A - Separate Quick Plan:

  • For a single urgent order, run a quick plan just for that order
  • Use available stock, accept slightly higher scrap if necessary for speed
  • Execute immediately

Option B - Re-Optimise Full Plan:

  • Add the urgent order to the full order list
  • Re-run the complete plan to re-optimise everything including the rush job
  • Better overall efficiency, but takes a bit more time

Choose based on urgency vs. efficiency trade-off.

5. Communicate Changes Clearly

If a plan changes after distribution:

  • Clearly mark changes - Highlight what’s different (new plan version number, change notes)
  • Notify affected operators - Don’t assume they’ll notice the update
  • Provide rationale - Brief explanation helps acceptance (“New order added for VIP customer”)

6. Review Plan Quality Periodically

Monthly or quarterly, review planning performance:

  • Average scrap rate on plans vs. actual
  • Percentage of plans executed as-is vs. modified
  • Time saved vs. manual planning (if measurable)
  • Material cost savings from optimized planning

Use this data to:

  • Justify continued use of the tool to management
  • Identify opportunities for further improvement
  • Recognize and reward teams for effective planning and execution

FAQ / Troubleshooting

Common Questions

Q: What if the plan doesn’t include all my orders?

A: Check:

  1. Are all orders marked as “Ready for Planning”? Some might be in draft status.
  2. Is the date range correct? Orders outside the selected range won’t be included.
  3. Is there sufficient stock? If you don’t have stock that matches order material specs, those orders can’t be planned.
  4. Are filters applied? Ensure you haven’t inadvertently filtered out certain orders.

If an order still isn’t included, review its details - there may be a data issue preventing it from being planned.

Q: The suggested scrap is still high, what can I do?

A:

  1. Review stock lengths - The available stock may not match well with order requirements. Consider ordering different standard lengths.
  2. Combine with offcuts - Ensure the planner has access to available offcut inventory; using offcuts can reduce scrap.
  3. Check for small orders - Very small or odd-sized orders may be inherently wasteful. See if they can be combined with future orders or if customer can accept standard sizes.
  4. Re-optimise with different constraints - Try allowing the planner to use different stock, or adjusting priorities.

If scrap remains high, use the Scrap Calculator (see Scrap Guide) to analyze and understand why.

Q: Does the planner account for machine capacities or multiple machines?

A:

  • Current version primarily optimises cutting patterns, not machine scheduling
  • If you have multiple cutting machines, you may need to:
    • Manually split the plan across machines based on capacity
    • Run separate plans for each machine’s workload
  • For complex multi-machine scheduling, contact GoSmarter support about advanced features or integrations

Q: Can I save and reuse plans?

A: Yes:

  1. Approved plans are saved in the system
  2. You can view past plans under Plans → History
  3. Plans can be duplicated/reused if you have similar repeating orders
  4. This is useful for regular production runs (e.g., weekly standing orders)

Q: What if I need to plan for different products (not just one material type)?

A:

  • The planner can handle multiple material types in a single run
  • It will keep materials separate (won’t suggest cutting rebar from beam stock, for example)
  • For very diverse product mixes, you might run separate plans per product category for clarity

Q: How do I give feedback to improve the planner?

A:

  • GoSmarter continuously improves the AI based on real-world usage
  • If you notice patterns that aren’t optimal, or have suggestions:
    • Document specific examples (save the plan, note the issue)
    • Contact GoSmarter support with your feedback
    • Your input helps improve the system for everyone

Q: Can I override the AI completely and plan manually in the system?

A: Yes:

  • You can enter a plan manually without using the optimiser
  • This might be useful for very special cases or small jobs
  • However, you’ll miss the optimisation benefits
  • Most users find the best approach is: let AI suggest, then manually adjust as needed

Advanced Tips & Tricks

Power User Techniques

1. Planning Strategies for Different Scenarios:

High-Mix, Low-Volume:

  • Many different orders, small quantities each
  • Strategy: Group orders by material grade/size, run separate plans per group
  • Reduces plan complexity while still optimising each group

Low-Mix, High-Volume:

  • Few order types, large quantities
  • Strategy: Run full optimisation across all orders; savings from efficiency multiply with volume

Rush Jobs Mixed with Regular:

  • Some urgent, some standard schedule
  • Strategy: Plan urgent separately for speed, then plan regular jobs optimally

2. Using Historical Plans:

  • Review past successful plans for similar order mixes
  • If you have recurring orders, save high-performing plans as templates
  • This can speed up planning for repeat business

3. Stock Management Insights:

  • After several planning cycles, analyse which stock lengths are most versatile
  • Consider standardising on 2-3 stock lengths that handle 80% of your orders efficiently
  • This simplifies inventory and improves optimisation potential

4. Collaborative Planning:

  • Have both planning team and shop floor supervisors review plans together periodically
  • Shop floor can provide feedback on practicality; planners can explain optimisation rationale
  • This builds mutual understanding and improves both planning and execution

Integration with Other GoSmarter Features

Complete Workflow Example

End-to-End Use of GoSmarter for Production:

  1. Orders received → Entered in Orders module
  2. Material arrives → Added to Inventory with linked Mill Certificates
  3. Planning time → Run Production Planner with orders and inventory
  4. Optimised plan generated → Review and approve
  5. Execute cutting → Shop floor follows plan
  6. Log actual scrap → Record real waste in Scrap Logger
  7. Update inventory → Used stock depleted, offcuts added
  8. Analyse performance → Review scrap reports, compare planned vs. actual
  9. Continuous improvement → Use insights to improve future planning and processes

Linked Guides:

This integrated approach maximises the value of GoSmarter across your operation.

Next Steps

To start using GoSmarter’s Production Planning effectively:

  1. Ensure data quality - Review and clean up Orders and Inventory data
  2. Learn the interface - Run a few test plans with sample data to understand outputs
  3. Start with simple plans - Begin with one product type or day’s orders, expand as you gain confidence
  4. Establish routine - Set a regular planning schedule and stick to it
  5. Measure and improve - Track scrap rates, compare planned vs. actual, refine your process

Additional Resources

Plan Smarter, Not Harder

GoSmarter’s Production Planner does the complex optimisation math in minutes, freeing you to focus on strategy, quality, and continuous improvement. Start planning smarter today and watch your scrap rates - and costs - drop.