Chapter 62, Methods of production Flashcards
Job Production
involves producing a single product (bespoke, tailor-made, one off) and is often completed by one single employee
Benefits of Job Production
- meets customer needs exactly
- high quality
- easier to motivate workers
- flexibility
- little stock is tied up
- easy to add value
Limitations of Job Production
- No opportunities to benefiting from economies of scale
- higher costs of production
- skilled labour is hard to find
- difficult to predict costs
Batch Production
when there is a set procedure or stages that the production process needs to go through in order to create the product. Often creating multiple of the same product at a time
Benefits of Batch Production
- able to produce larger quantities
- some economies of scale depending on batch size
- faster
- unit cost os lower
- more flexibility
Limitations of Batch production
- may be a time delay between batches
- can reduce the level of output in comparison to flow production
- more stock need to be held
- more storage space needed
- less variety of work
Flow Production
a continuous process utilising a conveyor-belt approach where the product is assembled on a production line
Benefits of Flow Production
- gain benefits from economies of scale
- division of labour reduces costs
- standardise product
- a little downtime
- specialisation
Limitations of flow production
- initial set up costs are high
- lots of planning
- lacks flexibility
- great reliance on suppliers
Cell Production
where teams often sit around a table and assemble products together
Benefits of Cell Production
- improved working conditions
- the incentive to ensure high quality
- the sense of responsibility
- opportunity for job rotation
Division of Labour
when a job or task is broken down into separate tasks
Impacts of Division of labour on the stakeholders
- shareholders benefit from increased productivity
- employees may be bored due to repetitive work
- suppliers benefit from supplying more
