# Improving the Production Efficiency Based on Algorithmization of the Planning Process
## 2 Theoretical Background  
Most products in the automotive industry flow through a pipeline, which begins with the subcontractor and follows the transport process to the customer's production line. Most companies manage these two functions independently, with little or no coordination between production planning and distribution planning. This separate approach works in cases where there is a sufficient amount of demanded products in stock in the buffer. However, this approach does not coincide with the currently solved problem, where the goods are taken away in the form of Just-In-Time and the management of the supplier company tries to minimize the warehouse [6]. The demand for enterprise resource planning systems, which can solve these requirements with the help of information systems, derives from this trend. This would achieve full traceability of all manufactured and stored pieces during all activities that affect the price of delivered commodities. At the same time, there is a demand to calculate the value of various resources of the company at any time on demand, not only at certain time intervals, as is currently the case. On the other hand, manufacturing companies are constantly looking for effective strategies for optimizing individual sub-operations. Many approaches are used in this search. The core of all business process reengineering activities usually consists of already well-known frameworks [7]. In this context, manufacturing companies need a production planning system that can ensure a balance between satisfying customer needs and the efficient use of production resources. To achieve this during the Fourth Industrial Revolution, data must be collected and stored as part of the entire production process in real-time. This requires efficient data communication, which will be based on integration and interoperability with other systems. Even though the requirements for a new method of production planning are clearly defined, recent research has shown that manual solutions and ERP are still the basic principles on which most planning departments within manufacturing companies operate. However, this has long resulted in multiple problems. From a technical point of view, these solutions do not provide data interoperability, the evaluation of the output of these solutions is limited, and they are very time-consuming is no retrospective evaluation of bad solutions. From a practical point of view, these solutions do not respect all system variables and limitations, the use of resources and capacity is not balanced in the long run and there is a high risk of stock shortages [8]. With a few exceptions, the analysis of industrial production is traditionally researched and offered as a commercial service by various companies, but they provide different data formats in different time derivatives and each who offers these services has a different approach to solving these problems. In general, however, all of these procedures begin with a preliminary analysis of anomalies in production reports, data, and errors, so that the calculation of global measures follows various internal protocols, which are often the intellectual property of these service providers. Of course, there are often significant differences in the method and results of analysis, but they do not matter to users if they are familiar with the definition [9]. Standardization of individual operations allows manufacturing companies to eliminate work without added value by reducing complexity and unnecessary redundancy. Companies use process standardization to achieve transparency and uniformity of operations across the value chain. In turn, standardization is considered an organizational effort to bring operations into a single standard business process [10]. Operations that have been standardized effectively reduce the deviations associated with each task, minimize ambiguity, and help production staff avoid costly errors. The unification of these processes ensures the high quality of the services provided [11].