Production Process Overview

These flashcards cover key vocabulary terms and their definitions related to the production process outlined in the lecture transcript.

Production Process

The series of steps and activities involved in manufacturing or assembling finished goods and semifinished goods.

Discrete Manufacturing

The production of tangible materials where each unit is distinct and can be counted, such as cars and bicycles.

Repetitive Manufacturing

A production process where the same material is produced repeatedly at a constant rate over time.

Process Manufacturing

Production of materials in bulk where components cannot be identified after mixing, like paint and chemicals.

Make-to-Stock Strategy

A production strategy where goods are produced and stored in inventory to meet anticipated customer demand.

Make-to-Order Strategy

A production strategy where production starts only after receiving a specific customer order.

Bill of Materials (BOM)

A complete list of materials, both raw and semifinished, required to produce a given quantity of a material.

Work Center

A location where operations needed to produce a material are carried out, which may include machines and labor.

Product Routing

A list of operations and sequences required to produce a material, detailing which work centers will perform each operation.

Backflushing

A technique that automatically records the issue of materials to production orders during confirmations instead of when materials are issued.

Goods Issue

The process of issuing materials or components from storage to the production order.

Goods Receipt

The process of recording the confirmation of materials that have been produced and placing them in finished goods inventory.

Variance

The difference between actual production costs and estimated costs; it must be settled at the end of a production order.

Production Capacity

The measure of how many units a plant can produce in a specified timeframe.

Component Assignment

The technique of assigning components from a BOM to specific operations within a routing for production.