Methods of Production

1. Methods of Production Chapter 37

2. Methods of Production • Job • Batch • Flow

3. Job Production • A single product is produced from start to finish as a result of an individual customer order • Can suit both small scale production e.g. a tailor made suit, and large scale production e.g. a cruise liner • Tends to be a labour-intensive production process

4. Advantages Each piece is made to the customer’s exact requirements Job satisfaction is high for the worker Quality of the goods is very high The design is flexible and can be changed Disadvantages The products are very expensive The work is very time consuming The advantages of economies of scale are lost Job Production

5. Batch Production • Is used to produce a number of similar products - a batch • When an order has been completed another batch is produced • Most manufacturing occurs through batch production. For example clothes manufacturers use batch production to produce a given item, such as a blazer, in batches of different sizes or colours • All of the items in the batch are the same, so production is speeded up. This reduces the cost of labour and results in the final product being less expensive for the customer

6. Advantages Workers may specialise to some degree Labour costs reduced so final price is lower Machinery may be used Production is faster Begins to take advantage of economies of scale Disadvantages The work is less interesting and very repetitive More space is required for working and storage Larger stocks of raw materials must be kept Machines have to be re-set between batches, losing time Batch Production

7. Flow Production • Also known as mass production or assembly line production • Product is passed along a production line - raw materials to ready for sale • Flow production is a capital-intensive process • Employees are only required to perform repetitive tasks so they are usually unskilled or semi-skilled employees • The finished product is usually not expensive for the customer

8. Advantages The final product is inexpensive Large quantities can be manufactured The quality of the product is standardised Machinery can be used so labour costs are reduced Unskilled wages further reduce costs Assembly lines can run continuously Production is fast Takes full advantage of economies of scale Disadvantages The work is repetitive There is an increased risk of accidents Employee motivation is low The products are all identical Large capital investment is required Larger buildings are usually needed Large stocks of raw materials must be kept Machinery breakdown can halt production There is a loss of traditional skills Flow Production

10. Activity • Read ‘How do firms choose the best method’ (pages 267-268) – 5 mins • Answer questions on page 269 (NOT THE CASE STUDY) – 30 mins • Extension – identify and explain what methods of production MSDL use for: • The laser cutting • The planned new garden accessories

11. Timed Essay – 25 mins Recommend a suitable method of production that MSDL could use for the planned garden accessories. Justify your recommendation (16 marks)