3.1 - Production Process

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• All the activities in managing the transformation process.

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• The process of charging inputs such as labour services into goods and services that can be sold.

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• When individuals focus on a limited number of tasks.

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• 'Continuous improvement'- an approach to production that aims to meet the exact requirements of a customer.

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• A method of production in which a product is supplied to meet the exact requirements of a customers needs.

1. Advantages

   Nota:

   • Allows businesses to charge a higher price since due to personal services offered.
2. Disadvantages

   Nota:

   • Each product is different so therefore it slows down production and costs more.

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• Holds as little stock; items are ordered justin time to be used..

1. Advantages

   Nota:

   • Reduces waste 
2. Disadvantages

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   • Suppliers must respond very quickly.

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• When an item moves continuously from one stage of the process to another

1. Advantages

   Nota:

   • - A lot can be made. - 24-hour production - you don't have to employ as many people.
2. Disadvantages

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   • - Set up costs are high.- The process lacks the ability to make even the smallest of changes without a high cost. - My not be high quality

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• An approach that aims to minimise waste.

1. Advantages

   Nota:

   • -  More ethical - Minimises Waste - Increased productivity
2. Disadvantages

   Nota:

   • Faulty products have to be remade.