Management of Operations: Methods of Production
Management of Operations: Methods of Production
Overview of Methods of Production
- Methods of Production refer to the different ways businesses manufacture or deliver a product or service.
- The choice of production method can impact the efficiency, quality, and cost of the production process.
Essential Methods of Production
- Job Production: This method involves creating bespoke, one-off items tailored to the customer’s needs.
- Batch Production: This method involves manufacturing multiple identical products at once before moving on to a different batch.
- Flow Production (also known as Mass Production): This method involves creating vast quantities of identical products in a continuous process.
- Cell Production: This method involves splitting the production process into separate self-contained units or ‘cells’. Each ‘cell’ is responsible for a significant part of the finished product.
Key Factors Influencing the Choice of Production Method
- The type and volume of output: smaller quantities usually use Job or Batch production while higher volumes utilise Flow or Cell production.
- The complexity and variety of products: more complex, varied products often require Job production.
- The level of customisation required: high customisation demands Job production, while standardised products can utilise Flow or Cell production.
- Cost considerations: Job production can be more expensive, while Flow production often reduces unit costs due to economies of scale.
Pros and Cons of Different Methods of Production
- Job Production: High customer satisfaction due to personalisation, but it has high costs and slow production time.
- Batch Production: Greater volume than job production and allows for variety, but it has downtime between batches and may lead to stockpiling.
- Flow Production: High volume and low costs, but little to no product variety and risk of large-scale errors.
- Cell Production: Increases employee satisfaction with varied tasks and can accommodate some product variety, but it may compromise efficiency compared to mass production.
Challenges in Production Management
- Balancing cost and quality: It’s crucial to maintain product quality while trying to reduce production costs.
- Managing production volume: Production needs to align with demand to avoid overproduction or underproduction.
- Adapting to changes in demand: Production methods may need to be adjusted in response to changes in customer demand or market trends.
- Implementing new production methods can require significant investment and employee training.