Business Studies- Methods of Production Flashcards
Job Production
Where a business produces one product from start to finish before moving on to the next. Used for small orders where each are different. Examples: Wedding dresses and buildings.
Advantages of Job Production
Quality is high because workers are skilled
Workers are well motivated because work is varied
Products can be custom made
Production is easy to organise
Disadvantages of Job Production
High labour costs as a result of skilled workers
Production may be slow- long lead times
A wide range of specialist tools may be needed
Generally an expensive method of production
Batch Production
When demand grows and orders for multiple units are placed, Batch Production is generally used. This is where a business makes a number of products to the same design or specification and then changes production to another product with different specifications. Eg. aircraft seats and bread
Advantages of Batch Production
Workers are likely to specialise in one process
Unit costs are lower because output is higher
Production is flexible because different orders can be met
More use of machinery is made
Disadvantages of Batch Production
More complex machinery may be needed
Careful planning and coordination is needed
Less motivation because workers specialise
If batches are small, costs will be high
Money may be tied up in work-in-progress
Flow Production
Flow production may be used when a business can sell huge quantities of output into a mass market. Products move from one operation to the next, often on a conveyer belt.
Advantages of flow production
Very low unit costs because of economies of scale
Output can be produced very quickly
Modern technology can allow some flexibility
Production speed can vary according to demand
Disadvantages of flow production
Products may be standardised
Huge set-up costs before production can begin
Worker motivation can be very low- repetitive tasks
Breaks in production can be very expensive.
