2.4.1 Production, productivity and efficiency

What is job production?

- Producing high quality items that are usually tailored to customer specifications

What are the benefits and drawbacks of Job production?

Benefits

- Customer requirements and changes can be handled

- Employees are more motivated

Drawbacks

- Individual cost of one unit may be high

- Requires clos consultation with the client

What is Batch production?

- When similar products are made in large groups together and each batch goes through one stage of production before moving on

What are the benefits and drawbacks of Batch production?

Benefits

- Cost savings can be achieved by buying in bulk

- Products can be worked on by specialist staff or machines at each stage

Drawbacks

- Tasks are repetitive and may become boring

- Requires the business to maintain higher stocks of raw materials and work in progress goods

What is flow production?

- When a product moves continuously through the production process

What are the benefits and drawbacks of flow production?

benefits

- Capital intensive, which means it can work constantly.

- Able to mass produce high quality products consistently

Drawbacks

- High raw materials and finished stocks unless lean production is used

- Goods are mass produced so there is less differentiation for the customer

What is cell production?

-When the production line is subdivided into a number of cells, which are groups of workers involved with a specific task.

What are the benefits and drawbacks of cell production?

Benefits

- Workers in cells can provide continuous quality assurance

- Movement of resources and handling time is minimised

Drawbacks

- Requires skilled labour- may increase production costs

- Workers may be demotivated if specialisation leads to boredom