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Methods of Production

Job - one off items

Advantages:

  • Cheap and easy

  • Tailored

  • Higher quality

  • Better motivated employees

  • Flexible

Disadvantages:

  • Individual cost of one unit is high

  • Often labour intensive so costs for labour are expensive

  • Mistakes are costly

  • Time consuming

  • Usually reliant on specialist skills

Batch - items produced in groups

Advantages:

  • Can buy in bulk

  • Allows customers some choice due to variations in different batches

Disadvantages:

  • Time consuming to switch from one batch to another

  • Requires maintaining higher stocks

  • Tasks may become repetitive - demotivation

  • Size of batch dependent on capacity allocated - could lead to waste

Flow

Advantages:

  • Unit costs low

  • Quick and cheap

  • Good for large quantities

  • Capital intensive

  • Produces identical items

  • Less need for training and skill

Disadvantages:

  • Long set up time

  • Reliant on machinery

  • No customisation

Cell - production line is split into different flows that make one unit of output

Advantages:

  • Increases quality, teamwork and motivation

Disadvantages:

  • Training and skills needed