Production is a conversion function by
which goods and services are produced.
A typical production system comprises of
three main components:
A production system comprises of :
Inputs:- Machines, raw materials, Men etc.
Operations, Mechanical activities
Output:- Goods, services
The combination of operations and
activities employed to create goods and
services are known as manufacturing
It needs to interact with both internal and
The selection of manufacturing system is a
The choice must meet two basic
i. It must be able to meet the specifications
of the final product.
ii. It must be cost effective.
a. Effect of volume/variety.
b. Effect of Capacity of the Plant.
c. Effect of Flexibility.
d. Effect of Lead Time.
e. Effect of Efficiency.
f. Effect of Environment.
I. Intermittent System:
The goods are manufactured specially to
fulfill orders made by customers rather
than for stock.
The flow of material is intermittent.
The production facilities are flexible
enough to handle a wide variety of
products and sizes.
Most products are produced in small
Machines and equipment are laid out by
Workloads are generally unbalanced.
Highly skilled operators are required for
efficient use of machines and equipment.
In-process inventory is large.
Flexible to suit production varieties.
Organization needs estimation of
jobs, routing, scheduling, preparation of
manufacturing orders, dispatching and
The organization formulates their
production strategy to suit the needs of the
Wise and careful sequencing
Proper regulation and close inspection
Intermittent system can be classified into 3
1) Project Production.
2) Job Production.
3) Batch Production.
It is characterized by complex sets of
activities performed in a particular order
within the given period and within the
Definite beginning and definite end.
‘Fixed position’ layout.
High cost overruns.
Non -uniform requirement of resources.
Involvement of different agencies.
Scheduling and control.
It is manufacturing of one or few numbers
of a single product designed and
manufactured strictly to customer’s
specifications, within, the given period and
within the price fixed.
Disproportionate manufacturing cycle
Limited functions of production planning
Materials are indented and purchased on
receipt of orders.
Process planning activity is almost
Small production runs.
Discontinuous flow of materials.
General purpose machines and process
Highly skilled labour.
Highly competent knowledgeable
Each item can be altered for the specific
It adds value and creates USP.
It is an Expensive process.
It is labour intensive.
The manufacture of a limited number of
product (but many such, quantities of
Examples of batch production are Process
Time between batches is known as
Supervisor to possess knowledge of a
General purpose machines and process
type of layout
Manual materials handling
Manufacturing cycle time affected due to
Need to have production planning and
It is cheaper to produce a number of each
item in one go
The workers can specialize in that task
It is difficult to change, as switching to
another batch takes time and will mean a
loss of output.
Increases costs as it takes up space and
raises the chance of damage to stock.
Standardization is the fundamental characteristic
of this system.
Items are produced in large quantities
Less emphasis is given to consumers orders.
Uniform and uninterrupted flow of material is
maintained through pre determined sequence of
operations required to produce the product.
System can produce only one type of product at
Economies in production.
Mass production process itself is
characterized by mechanization to achieve
high volume, elaborate organization of
materials flow through various stages of
manufacturing, careful supervision of quality
standards, and minute division of labour.
France, Sweden and Britain got maturity and
recognition only in U.S.A.
It does not have to mean low-quality
It minimizes unnecessary movements and
By Henry Ford in 1913.
Speedy and cost saving method.
Mass production systems are usually
organized into assembly lines.
Producing goods in large quantities at low
Effects on the organization of work
1.Tasks were minutely subdivided.
2. Manufacturing concerns grew to such size that
a large hierarchy of supervisors and managers
3. Increasing complexity of operations required
employment of a large management staff in
addition to a large distribution and sales force.
Led to international division of labour and
-Special purpose machines and product
-Lesser flexibility in production schedules.
-Continuous flow of material.
-Mechanized materials handling.
-Low skilled labor.
-Short manufacturing cycle time.
-Limited work- in- progress.
- Flow production is capital intensive.
- High number of products can roll off
assembly lines at very low cost
-Difficult to alter the product process
Process production is characterized by
manufacture of a single product produced
and stocked in the warehouses awaiting
The flexibility of such plants is almost zero
as only one type of product can be
produced in such plants.
Typical examples of such plants are sugar,
steel, cement, paper, coke, refineries, etc.
-Special purpose machines with built-in
-Highly mechanized materials handling.
• Sometimes referred to as a
• "lean manufacturing system" or JIT
• It is based on the total elimination of
• This production system has been
established based on many years of
• JIT means making what the markets
wants, when it wants it.
Just-in-time production is considered to be
on the leading edge of technological
Just-in-time systems are designed to keep
inventory costs at a minimum.
While the just-in-time inventory
management philosophy is
simple, execution is not
Lower stock holding.
Less working capital.
Less likelihood of stock perishing.
Avoids the build-up of unsold finished
Less time is spent on checking and re-
There is room for mistakes.
Production is very reliant on suppliers.
No spare finished product available to
meet unexpected orders.
Most steel is produced using one of four
Basic Oxygen Furnaces
The three raw materials used in making pig iron
1) The processed iron ore
2) Coke (residue left after heating coal in the
absence of air, generally containing up to
3) Limestone (CaCO3) or burnt lime (CaO),
which are added to the blast furnace at
intervals, making the process continuous.
A blast furnace is a type of metallurgical
furnace used for smelting to produce industrial
metals, generally iron.
In a blast furnace, fuel and ore are continuously
supplied through the top of the furnace, while air
(sometimes with oxygen enrichment) is blown
into the bottom of the chamber.
The end products are usually molten metal
and slag phases tapped from the bottom.
• Direct reduction, an alternative route of iron
making, has been developed to overcome some of
these difficulties of conventional blast furnaces.
• The direct reduction process is intrinsically more
energy efficient than the blast furnace because it
operates at a lower temperature, and there are
several other factors which make it economical.
• Direct-reduced iron is richer in iron than pig-
Iron, typically 90–94% total iron.
• The basic oxygen converter resembles a Bessemer converter.
• It is a method of primary steel making in which carbon-rich
molten pig iron is made into steel. Blowing oxygen through molten
pig iron lowers the carbon content of the alloy and changes it
into low-carbon steel.
• The process is known as basic due to the pH of the refractories—
calcium oxide and magnesium oxide—that line the vessel to
withstand the high temperature of molten metal.
• It receives materials from the top and tips to pour off the finished
steel into ladles.
• The main element is a water-cooled oxygen lance, which is placed
into the top of the converter after it is charged with scrap steel,
molten pig iron, and fluxing agents.
• An electric arc furnace (EAF) is a furnace that heats charged
material by means of an electric arc.
• High-quality carbon and alloy steels, such as stainless steels,
are produced in electric arc furnaces. These furnaces can
make 150-200 tons in a single heat in as little as 90 minutes.
• The entire electric furnace is tilted during a tapping operation
in which molten steel flows into a waiting ladle.
• Electric furnaces are the most competitive where low-
cost electricity is available and where very little coal or iron
ore is found.
• Continuous casting, also called strand casting,
is the process whereby molten metal is solidified
into a "semi-finished" billet, bloom, or slab for
subsequent rolling in the finishing mills.
• In addition to costing less, continuously cast
steels have more uniform compositions and
properties than ingot cast steels.
• The continuous cast process has become the
most economical method to produce large
quantities of conventional steels.