Studied by 1 person
Job production
Job production is the production of a special “one off” product made to a specific order (for one customer). It requires clear objectives and proper planning.
Advantages of job production.
Mark-up is likely high
Clients get exactly what they want
Likely to motivate skilled workers to focus on individual processes.
Flexible.
Disadvantages of job production.
Expensive and requires skilled workers
Time consuming
Might fail and reflect badly on the business
Labour intensive.
Batch production
Batch production is the production of a group of identical products.
Advantages of batch production
Can achieve economies of scale
Customers have more choice than mass production
Deal with unexpected orders
Useful for trialling products.
Disadvantages of batch production
Lose production time when machines need to be recalibrated (down time)
Need to be able to hold high stocks
Sizes of batches depend on the capacity of the machinery (or labour) allocated to them.
Mass production
Mass production is production of a high volume of identical, standardised products. Careful planning required
Advantages of mass productions
System may need little maintenance
Cater for large orders, considerable economies of scale
Labour costs are low
Can respond to an increase in orders very quickly.
Disadvantages of mass productions
Set up costs are usually high
Breakdowns are costly
Business is dependent on a steady demand
System is inflexible if demand is very low.
Demotivating for workers.
Mass individualised customisation
Mass individualised customisation combines mass production with the personalization of custom made products for marketing products.
