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Production - types of production method
Definition
In our introduction to production and operations
management ("POM") we suggested that there are
several different methods of handling the conversion or
production process - Job, Batch, Flow and Group.
This revision note explains these methods in more
detail.
Introduction
The various methods of production are not associated
with a particular volume of production. Similarly,
several methods may be used at different stages of the
overall production process.
Job Method
With Job production, the complete task is handled by
a single worker or group of workers. Jobs can be
small-scale/low technology as well as complex/high
technology.
1. Low technology jobs: here the organisation of
production is extremely simply, with the required
1
skills and equipment easily obtainable. This
method enables customer's specific requirements
to be included, often as the job progresses.
Examples include: hairdressers; tailoring
2. High technology jobs: high technology jobs
involve much greater complexity - and therefore
present greater management challenge. The
important ingredient in high-technology job
production is project management, or project
control. The essential features of good project
control for a job are:
- Clear definitions of objectives - how should the job
progress (milestones, dates, stages)
- Decision-making process - how are decisions taking
about the needs of each process in the job, labour and
other resources
Examples of high technology / complex jobs: film
production; large construction projects (e.g. the
Millennium Dome)
2
Batch Method
As businesses grow and production volumes increase, it
is not unusual to see the production process organised
so that "Batch methods" can be used.
Batch methods require that the work for any task is
divided into parts or operations. Each operation is
completed through the whole batch before the next
operation is performed. By using the batch method, it is
possible to achieve specialisation of labour. Capital
expenditure can also be kept lower although careful
planning is required to ensure that production
equipment is not idle. The main aims of the batch
method are, therefore, to:
- Concentrate skills (specialization)
- Achieve high equipment utilisation
This technique is probably the most commonly used
method for organising manufacture. A good example is
the production of electronic instruments.
Batch methods are not without their problems. There is
a high probability of poor work flow, particularly if the
batches are not of the optimal size or if there is a
significant difference in productivity by each operation
3
in the process. Batch methods often result in the build
up of significant "work in progress" or stocks (i.e.
completed batches waiting for their turn to be worked
on in the next operation).
Flow Methods
Flow methods are similar to batch methods - except
that the problem of rest/idle production/batch queuing
is eliminated.
Flow has been defined as a "method of production
organisation where the task is worked on continuously
or where the processing of material is continuous and
progressive,"
The aims of flow methods are:
- Improved work & material flow
- Reduced need for labour skills
- Added value / completed work faster
Flow methods mean that as work on a task at a
particular stage is complete, it must be passed directly
to the next stage for processing without waiting for the
remaining tasks in the "batch". When it arrives at the
next stage, work must start immediately on the next
process. In order for the flow to be smooth, the times
4
that each task requires on each stage must be of equal
length and there should be no movement off the flow
production line. In theory, therefore, any fault or error
at a particular stage
In order that flow methods can work well, several
requirements must be met:
(1) There must be substantially constant demand
If demand is unpredictable or irregular, then the flow
production line can lead to a substantial build up of
stocks and possibility storage difficulties. Many
businesses using flow methods get round this problem
by "building for stock" - i.e. keeping the flow line
working during quiet periods of demand so that output
can be produced efficiently.
(2) The product and/or production tasks must
be standardized
Flow methods are inflexible - they cannot deal
effectively with variations in the product (although
some "variety" can be accomplished through applying
different finishes, decorations etc. at the end of the
production line).
5
(3) Materials used in production must be to
specification and delivered on time
Since the flow production line is working continuously,
it is not a good idea to use materials that vary in style,
form or quality. Similarly, if the required materials are
not available, then the whole production line will come
to a close - with potentially serious cost consequences.
(4) Each operation in the production flow
must be carefully defined - and recorded in
detail
(5) The output from each stage of the flow
must conform to quality standards
Since the output from each stage moves forward
continuously, there is no room for sub-standard output
to be "re-worked" (compare this with job or batch
production where it is possible to compensate for a lack
of quality by doing some extra work on the job or the
batch before it is completed).
The achievement of a successful production flow line
requires considerable planning, particularly in ensuring
6
that the correct production materials are delivered on
time and that operations in the flow are of equal
duration.
Common examples where flow methods are used are
the manufacture of motor cars, chocolates and
televisions.
7

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Types of production system (production and operation management)

  • 1. Production - types of production method Definition In our introduction to production and operations management ("POM") we suggested that there are several different methods of handling the conversion or production process - Job, Batch, Flow and Group. This revision note explains these methods in more detail. Introduction The various methods of production are not associated with a particular volume of production. Similarly, several methods may be used at different stages of the overall production process. Job Method With Job production, the complete task is handled by a single worker or group of workers. Jobs can be small-scale/low technology as well as complex/high technology. 1. Low technology jobs: here the organisation of production is extremely simply, with the required 1
  • 2. skills and equipment easily obtainable. This method enables customer's specific requirements to be included, often as the job progresses. Examples include: hairdressers; tailoring 2. High technology jobs: high technology jobs involve much greater complexity - and therefore present greater management challenge. The important ingredient in high-technology job production is project management, or project control. The essential features of good project control for a job are: - Clear definitions of objectives - how should the job progress (milestones, dates, stages) - Decision-making process - how are decisions taking about the needs of each process in the job, labour and other resources Examples of high technology / complex jobs: film production; large construction projects (e.g. the Millennium Dome) 2
  • 3. Batch Method As businesses grow and production volumes increase, it is not unusual to see the production process organised so that "Batch methods" can be used. Batch methods require that the work for any task is divided into parts or operations. Each operation is completed through the whole batch before the next operation is performed. By using the batch method, it is possible to achieve specialisation of labour. Capital expenditure can also be kept lower although careful planning is required to ensure that production equipment is not idle. The main aims of the batch method are, therefore, to: - Concentrate skills (specialization) - Achieve high equipment utilisation This technique is probably the most commonly used method for organising manufacture. A good example is the production of electronic instruments. Batch methods are not without their problems. There is a high probability of poor work flow, particularly if the batches are not of the optimal size or if there is a significant difference in productivity by each operation 3
  • 4. in the process. Batch methods often result in the build up of significant "work in progress" or stocks (i.e. completed batches waiting for their turn to be worked on in the next operation). Flow Methods Flow methods are similar to batch methods - except that the problem of rest/idle production/batch queuing is eliminated. Flow has been defined as a "method of production organisation where the task is worked on continuously or where the processing of material is continuous and progressive," The aims of flow methods are: - Improved work & material flow - Reduced need for labour skills - Added value / completed work faster Flow methods mean that as work on a task at a particular stage is complete, it must be passed directly to the next stage for processing without waiting for the remaining tasks in the "batch". When it arrives at the next stage, work must start immediately on the next process. In order for the flow to be smooth, the times 4
  • 5. that each task requires on each stage must be of equal length and there should be no movement off the flow production line. In theory, therefore, any fault or error at a particular stage In order that flow methods can work well, several requirements must be met: (1) There must be substantially constant demand If demand is unpredictable or irregular, then the flow production line can lead to a substantial build up of stocks and possibility storage difficulties. Many businesses using flow methods get round this problem by "building for stock" - i.e. keeping the flow line working during quiet periods of demand so that output can be produced efficiently. (2) The product and/or production tasks must be standardized Flow methods are inflexible - they cannot deal effectively with variations in the product (although some "variety" can be accomplished through applying different finishes, decorations etc. at the end of the production line). 5
  • 6. (3) Materials used in production must be to specification and delivered on time Since the flow production line is working continuously, it is not a good idea to use materials that vary in style, form or quality. Similarly, if the required materials are not available, then the whole production line will come to a close - with potentially serious cost consequences. (4) Each operation in the production flow must be carefully defined - and recorded in detail (5) The output from each stage of the flow must conform to quality standards Since the output from each stage moves forward continuously, there is no room for sub-standard output to be "re-worked" (compare this with job or batch production where it is possible to compensate for a lack of quality by doing some extra work on the job or the batch before it is completed). The achievement of a successful production flow line requires considerable planning, particularly in ensuring 6
  • 7. that the correct production materials are delivered on time and that operations in the flow are of equal duration. Common examples where flow methods are used are the manufacture of motor cars, chocolates and televisions. 7