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Production and management


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  • Planning: Predetermining a course of action for accomplishing organizational objectives Organizing: Arranging the relationships among work units for accomplishment of objectives and the granting of responsibility Staffing: Selecting and training people Directing: Creating an atmosphere that will assist and motivate people to achieve desired end results. Controlling: establishing, measuring and evaluating performance of activities toward planned objectives.
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    • 1. Management and Production
    • 2. • Production is the system of changing the form of any substance or raw material to make it useful for consumption either by the ultimate consumer or industrial users. • Manufacturing and Extractive processes.
    • 3. TYPES OF PROCESSES • Extractive • Analytic (one raw material – several finished products) • Synthetic (one finished product – several components) • Fabricating (machining)
    • 4. Production Process Design • How will the production process be subdivided? • What will be purchased and what will be built? • What equipment will be used and how will it be used? • What suppliers and subcontractors will be used? • How will production be organized? • Who will do what? • How will material flow? • How will work flow? • What is the duration and cost of each operation? • How will the production process be arranged physically? • How will the product be tested during and after production? • How will the finished product be shipped?
    • 5. CONTINUOUS / INTERMITTENT PROCESS • CONTINUOUS large scale operations repetitive operations no idle time e.g. steel and automobile • INTERMITTENT smaller operations different operations idle machine time
    • 6. During Production • Control the production process through statistical analysis and process control. • Improve quality and process consistency. • Take corrective action when needed. • Identify and implement methods to reduce cost, invested capital or production time. • Manage the supply chain.
    • 7. TYPES OF PRODUCTION • JOB OR CUSTOM (small scale) • BATCH (medium) • MASS OR FLOW (large scale)
    • 8. • JOB OR CUSTOM - single and customized product - greater skills and specialization required - exact specifications therefore, quality control important
    • 9. • BATCH - diverse orders of fairly large quantities - intermittent process
    • 10. • MASS OR FLOW - continuous process - standardized products - similar, repetitive sequence of operations - inventory risks - risk of fluctuating prices (stock)
    • 11. TAYLOR’S PRINCIPLES OF SCIENTIFIC MANAGMENT 1. Develop each element of a man’s work 2. Train, teach and develop the worker 3. Cooperate to ensure compliance with the principles 4. Equal division of work and responsibility between the worker and management
    • 12. Management
    • 13. TIME AND MOTION STUDY • MOTION STUDY Studying the elements of work and their relations, analyzing them to eliminate any repetitive and unnecessary tasks and reducing the essential tasks to the minimum.
    • 14. • TIME STUDY Analysis and determination of time taken to perform a particular task by improving and standardizing operations and adopting effective and efficient production techniques. Helps establish fair wages.
    • 15. PRODUCTION CONTROL Production Planning and Control dept. integrates and coordinates the use of manpower, machines and materials for efficient output of goods to meet its sales requirements.
    • 16. FUNCTIONS OF PRODUCTION DEPT. • Planning and Issuing Orders • Routing • Scheduling (Master and Production) • Despatching (performance) • Follow up and control
    • 17. QUALITY CONTROL AND INSPECTION Quality of a product is a combination of attributes that distinguish it from other similar products. THREE PHASES: 1. Establishment of standards 2. Achievement of standards 3. Conformance to standards
    • 18. PURPOSE OF QUALITY CONTROL • Quality product to satisfy demand at a cost that will still yield profits at the going market price • Sufficient quantity produced • Retain standards set by quality control
    • 19. FUNCTIONS OF QUALITY CONTROL Inspection dept. should have authority. 1. Incentives for operations 2. Reworking of defective product 3. Formation of committees to review
    • 20. METHODS OF INSPECTION • Centralized • Floor or Patrolling - 100% inspection - Sample inspection
    • 22. FACTORS FOR CHOICE OF LOCATION • MANUFACTURING CONCERN • Raw materials • Labor • Power and fuel • Water • Transportation • Climate • Markets • Location of competitors
    • 23. • Chance • Population and style • Room for expansion • Governmental regulations
    • 24. • RURAL SITE • Advantages: • Cheap land • Room for expansion • Low taxes • Cheap labor • Disadvantages: • URBAN SITE • SUBURBAN SITE