Specification section 3.1

Slides:



Advertisements
Similar presentations
Operations management is concerned with producing the right goods and services at the right quality and quantity. They need to turn the factors of production.
Advertisements

OPERATIONS The term production and operations tend to be interchangeable today the main feature of operations is that there is an input, process, output.
METHODS OF PRODUCTION Business must decide on the most suitable method of production. The objective is to minimise the cost per unit, i.e. productive.
Practice Questions - Operations Wedding cake designers mainly use job production system. Describe the advantages and disadvantages of this type of.
Management of Marketing and Operations 2.2 – Operations
5.6 Production Planning The last one!!. The cost of STOCKS Stocks are materials and goods required to allow the production and supply of products to the.
AS Operations Management Labour V’s capital intensive Production methods.
Managing Purchasing and Inventory
5.7 Production Planning Chapter 36.
Topic 5 – Operations Management Production Planning.
Unit 2 - How Organisations Use ICT
Inventory Management. Inventory Inventory or stock are the materials and goods required to allow for the production of supply of products to the customer.
Stock Control Today you will know what stock control is.
Production Capacity & Efficiency
LO: To know how this is managed and controlled
MANAGEMENT OF OPERATIONS METHODS OF PRODUCTION. LEARNING INTENTIONS AND SUCCESS CRITERIA LEARNING INTENTIONS: I understand the different production methods.
5.1 Production Methods IBBM.
Industrial Manufacture
Unit 5 Operations Management Production Methods. Learning Objectives To describe and compare the features and applications of job, batch, line, flow and.
Company Program. Methods of Production Production always depends on your system and your employees. To remember that important lesson, watch this
22/04/2017 Process selection.
BM Unit 2 - L051 Higher Business Management Unit 2 Learning Outcome 5 Operations.
Inventory Management. Introducing the topic The Shocking cost of Holding Inventory Read Case Study, Answer the questions on paper…. Page 419.
Stock Operations Management Intermediate Business Management.
Production.
MANUFACTURING VOCATS 7.O5. MANUFACTURING is A system or group of systems used in the manufacturing process to make products for an end user.
Managing Purchasing and Inventory 1 PROCUREMENT. Managing Purchasing and Inventory 2 Describe the importance of planning purchases. Identify factors that.
Methods of Production Intermediate II and Higher Business Management.
IGCSE Business Studies
Production Methods. By the end of the chapter You should be able to … Define and Explain the following production methods: Job or customized production.
OPERATIONS National 4/5 Business Management 2014/2015.
Operations Stock Having stocks enables: - Goods to be available for production Delivery to customers Shows the goods available for production Enables.
BELL WORK: READ THIS….. Just in Time is a stock control method that companies can use. With just in time, a business holds no stock and instead relies.
Operational and Production Aspects of Contemporary Business Chapter Course: BUS 101 Lecturer: NNA.
4.1.2 The Main Methods of Production
Operations Management $100 Production Method Cost and Revenue Quality Assurance Location Production Planning $200 $300 $400 $500 $400 $300 $200 $100 $500.
INVENTORY CONTROL. Stock is expensive, ties up business funds and takes up valuable warehouse space. Involves a set of procedures designed to coordinate.
Section Objectives Describe the importance of planning purchases.
Stock Control. Why hold stock? Simple manufacturing organisation No need to hold stock All goods manufactured on demand However Need to hold stock so.
© Folens 2009 Learning objectives/aims You should: be able to describe one-off, batch and mass production. must be able to explain how and when these production.
OPERATIONS MANAGEMENT PRODUCTION PLANNING. Explain the difference between JIT/JIC Explain and analyse the appropriateness of traditional stock control.
Lesson objective – to understand what is meant by one-off, batch and mass production Textiles – Production Processes.
3.4 How do businesses operate1 How do Businesses Operate? 3 stages: inputs  process  output What is Production? the making and providing of both goods.
AS Business Studies. How are these products made?
Methods of Production Chapter 37. Methods of Production Job Batch Flow.
METHODS OF PRODUCTION. JOB PRODUCTION One product is made at a time. Product tends to be unique and made to the customer’s specification. E.g. bridges,
Methods of Production GCSE Business Studies. Methods of Production Job Batch Flow Just in Time (JIT)
Production Scale Theory. Knowledge and Understanding.
Product manufacture Scales of production Organising production Scales of production Organising production.
Methods of Production IGCSE Business.
Chapter 7 Pages Supply chain management – the process of integrating and planning, implementing and controlling the systems of organisations,
Identify job, batch and flow production - E Explain when job, batch and flow production are likely to be used - C Analyse the advantages and disadvantages.
Lean Production Just in time - It originally referred to the production of goods to meet customer demand exactly, in time quality and quantity, whether.
Manufacturing systems Brian Russell. Exam expectations Issues associated with Manufacturing are regularly tested in the written paper. Questions often.
Level 1 Business Studies AS90837 Demonstrate an understanding of internal factors of a small business.
Operations Planning We have looked at Operations Management, who deal with the production inputs for a business: Land Labour Capital So, what is Operations.
National 4/5 Business Management 2016/2017
Higher Business Management
What are the mains methods of production?
JOB PRODUCTION One job is done at a time from start to completion before another ‘job’ is started One product is made at a time Eg house building, bridge.
Higher Business Management
Level 1 Business Studies
Re-order level formula:
Methods of Production GCSE Business.
Learning Objectives TOPIC: Topic 5: Operations Management
GCSE Business Studies Production.
Unit 3: Operations Knowledge Organiser 3 Production Processes
3 Types of Secondary Manufacturing
Scales of Production.
Presentation transcript:

Specification section 3.1 Scale of Production Specification section 3.1

3.1 Scale of Production One-off Production   One off production is where ONE SINGLE item is designed and made at a time. These items are most often produced to suit a customer’s individual requirements. Each of these products is UNIQUE and, more often than not, a long time would have been spent designing and making it. For this reason, items produced by this method are EXPENSIVE to buy. ONE-OFF production would not be suitable for factories and is more likely to be found in smaller establishments where the emphasis is placed on the HAND MADE and QUALITY aspects of a product.

3.1 Scale of Production One-off Production   Advantages of ONE OFF production Each piece is made to the exact customer requirements Job Satisfaction for workers is high Quality of products is very high Disadvantages of ONE OFF production The product are very expensive The work is very time consuming

3.1 Scale of Production Batch Production   BATCH production is used where several of the same product are made. When the required number has been produced, production stops. Another batch of the same product can be made at a later date if the DEMAND for the product is there. All items made in a BATCH are the SAME . Therefore production is SPEEDED UP and the cost of labour is REDUCED . This results in the final product being less expensive for the customer.

3.1 Scale of Production Batch Production   Advantages of Batch production Workers may specialise to some degree Labour costs are reduced resulting in cheaper products Production is faster Disadvantages of Batch production The work less interesting and repetitive More space required for working and storage Quantities of raw material must be stored

3.1 Scale of Production Mass Production   MASS production is where products are made CONTINUOUSLY . Usually an assembly line is organised and, as the product moves along it, parts are added until the final product is complete. These assembly lines can be manned by people, but the work is very REPETITIVE and often these lines are AUTOMATED . As this method of production relies on machinery, the INITIAL COST of setting up this process can be VERY HIGH . As long as there is sufficient CUSTOMER DEMAND for the product it is worth buying the machines to make them.

3.1 Scale of Production Mass Production Advantages of Mass production   Advantages of Mass production The final product is inexpensive The quality of the product is consistent Assembly lines can run continuously Production is fast Disadvantages of Mass production The work is repetitive and boring Large initial investment is required Machinery breakdown can halt production There is a loss of traditional skills

3.1 Scale of Production Just-In-Time Production (JIT)   JUST IN TIME production is where products are manufactured JUST IN TIME for them to be sold. This prevents having money tied up in large stocks of any product which is waiting to be sold. The raw materials and parts needed to make the final product are ordered and delivered JUST IN TIME for them to be used. So large stock of raw materials and parts are not needed either. This method of production can save a lot of money being tied up, but any mistakes in delivery of raw materials or parts could hold up the whole production process.

3.1 Scale of Production Just-In-Time Production   Advantages of Just-In-Time production Money is used very efficiently Warehouses are not needed for storage No waste or excess stock Finished product should be cheaper to buy Disadvantages of Just-In-Time production Very dependant on efficient ordering system Production halted if material or parts not delivered on time Company must work closely with suppliers