4.1.2 The Main Methods of Production IGCSE Business Studies 4.1.2 The Main Methods of Production

LEARNING OBJECTIVES To understand the features, benefits and limitations of job, batch and flow production   To be able to evaluate and justify an appropriate production method for a given situation

Starter – 5 minutes Look at the pictures below and discuss in pairs how you think the product or service is made.

Job production Job production: Involves producing a one-off product for a specific customer e.g. cake decorating, architecture, hairdressing Advantages Made to customer specifications High quality can be achieved Workers are well motivated Disadvantages Usually labour intensive Specialist labour is expensive Relatively slow

Batch production Batch production: Items are produced in groups or ‘batches’, i.e. they all undergo one operation before moving onto the next e.g. baking bread, food canning A significant problem with this method is that the production equipment must usually be stopped, re-configured, and its output tested before the next batch can be produced (down-time)

Batch production advantages and disadvantages Cost per unit is lower than ‘jobbing’ Several items can be produced on one production line Batch size can vary to suit the order Identical product produced Batches can be varied to suit customer requirements Disadvantages Small batches increases retooling time Storage costs increase – work in progress and finished goods May involve repetitive jobs which can be demotivating

Flow production (mass production) Flow production: The production of large amounts of standardised products on production lines A conveyor belt is usually used to move the products on to the next process e.g. car or processed food manufacturing

Flow production advantages and disadvantages Ideal for mass produced goods Lowest cost Cheap, low skilled labour needed Disadvantages Requires a huge investment in machinery Products must be standardised Inflexible – assembly lines can not be easily adapted for different products Repetitive tasks can be extremely demotivating for workers A machine breakdown can cause production to completely cease Often expensive to shut down the production line – e.g. if demand is low

Methods of production final thought It is often difficult to classify exactly which method is used to make a product e.g. Car production involves flow production (assembly line) and batch production (engine blocks)

Quiz Time! Grab the boards Method of production quiz