2.4.1 Production, productivity and efficiency (1/4) Methods - Job + Batch Flashcards
Production
The transformation of resources into goods or services
Job production
A manufacturing process where a one-off unique item for is made for a customer to their requirements
- Produced by highly skilled workers
What type of workers are used in Job production
Highly skilled workers are used in job production
Is job Production a labour or capital intensive approach
Labour intensive approach - High level of consumer input in the production process.
e.g creating the product, liasing with customers
3 advantages of job production
- High levels of quality - so can charge higher prices.
- Can deliver high levels of customer satisfaction as you’re meeting the customers exact bespoke requirements -> can lead to gd publicity, repeat customers, enhanced brand image
-Motivated workers because e.g in contact with other workers , involved in more enriched jobs (which provides satisfaction , they’re actually their own skillsets.
3 disadvantages of job production
- Very labour intensive & skilled need to be paid higher wages.may also need specialist equipment-> overall increases the unit costs
-Labour intensive means lower levels of output in comparison to other methods e.g batch/flow (which are capital intensive)
- less able to benefit from EOS because products are unique so can’t be made in bulk.-> increases the unit costs.
Batch production
when much of the same equipment is used to manufacture of a limited number of identical products.
The products made in each batch is identical
What can be done for the equipment and the production process of batch production
they can modified and adjusted to meet requirements of a different batch.
e.g changing the size, colour, quantity and other features
4 - Benefits of Batch production
- Production is flexible since different orders of demand can be met e.g increasing the quantity,
- greater use of machinery which can result in the production process being faster & more higher levels of output
- Unit costs may be lower because can benefit from EOS due to higher levels of output e.g can bulk buy raw materials
- Workers are likely to specialise in one part of the production process - can improve efficiency & productivity
3 Drawbacks of batch production
-Workers may be less motivated due to repetitive task being carried out-can lead to lower levels of productivity + quality issues
- May have to store lots of raw materials for potentially different products - can be expensive
- One mistake may spoil all products in a batch resulting in defective items - high levels of wastage e.g time & materials. This means an increase in unit costs
-Less efficient than flow production, as production may process may be stopped to change between batches.
- Meaning lowers levels of production so average costs will be higher