Module 8: The production process: how do we make it?

Three type of production

1. mass production 2. mass customization 3. customization

converting inputs to outputs (2 basic processes)

Process manufacturing and assembly process

Mass customization

goods are produced using mass production techniques, but only up to a point, the product or service is custom-tailored to the needs or desires of individual customers

operations managers classify production processes in two ways

how inputs are converted into outputs and the timing of the process

Assembly process

is the opposite, like natural resources, raw materials, or human resources, are either combined to create the output or transformed into the output

continuous process

long production runs that may lasts days, weeks, or months without equipment shutdowns. this is best for high volume, low variety products with standardized parts, such as nails, glass, and paper

Mass production

manufacturing many identical good at once, emphasis in mass production is on keeping manufacturing costs low by producing uniform products using repetitive and standardized processes.

A second consideration in choosing a production process is

production timing

intermittent process

short production runs are used to make batches of different products. this process is best for low volume high variety products such as those produced by mass customization or customization

process manufacturing

the basic inputs (natural resources, raw materials) are broken down into one or more outputs (products)

Customization

the opposite of mass production. the firms produce goods or services one at a time according to the specific need or wants of individual customers, each product or service produced is unique.

Production process

the way a good or service is created, best fits with company goals and customer demand. Different good may require different production processes.