Production means application of processes to the raw material ( inputs) to add the use and economic values to arrive at desired product by the best method, with out sacrificing the desired quality
Three way of Production:
Disintegration: Crude Oil, Salt
Integration: Assembly of two wheelers, four wheelers.
Service: Assembly of two wheelers, four wheelers.
In real world we find the combination of all of above methods of production “Production is the use of any process designed to transform a set of inputs into a set of outputs which have use value and economic value.”
It (POM) is concerned with the transformation of a range of inputs into the required outputs (products) having the requisite quality level.
William J.Stevenson defined production as “the step-by-step conversion of one form of material into another form through chemical or mechanical process to create or enhance the utility of the product to the user.”
It is the way of doing right things by right persons in right time thorough right way.
So both production management is the right way of scheduling production process in right way to create both costumer value and shareholders value.
Cont Production Management is the process of effective planning and regulating the operations of the section of an enterprise, which is responsible for the actual transformation of materials into finished goods. In the summarized from, POM is the function of three elements input process and output. Which is concerned with the conversion process to produce desired product whether it tangible or not. The set of interrelated management activities, which are involved in manufacturing certain products, is called as production and operation management.
Contd…….. As well Production and Operation Management is one of the functional area of management such as marketing, finance, human resource and material management. Conclusion: POM is the conversion of inputs into outputs, using physical resources, so as to provide the desired utilities of form place, possession or state to the customer while meeting the .organizational goal.