13578489
Description
Mind Map by Gabriella Diana, updated more than 1 year ago
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Created by Gabriella Diana
almost 6 years ago
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3.1 Production process
- Methods of production
- Flow production
- When a product moves continuesly from one stage of
production to another like Coca-Cola
- Benefits
- -Don't need employees as it is mostly automated
-Can work all night and day
- -Don't need employees as it is mostly automated
-Can work all night and day
- Disadvantages
- -May not be high quality -Expensive to set up
- -May not be high quality -Expensive to set up
- When a product moves continuesly from one stage of
production to another like Coca-Cola
- Just-in-time production
- Reduces costs and
spending and improves
competitiveness.
- Business holds no stock and relies on deliveries of raw
materials and components when needed so they do not
pay for warehouses
- Benefits
- -Reduces cost and spending.
-Reduced warehouse costs
balanced against the cost
more frequent deliveries.
-Can move between products
easily.
- -Reduces cost and spending.
-Reduced warehouse costs
balanced against the cost
more frequent deliveries.
-Can move between products
easily.
- Disadvantages
- -Production can be put back if
there is an issue with delivery.
-Lost purchasing economies of
scale from bulk buying discounts.
-Large orders can delay delivery.
-Staff must still be paid even if
not producing
- -Production can be put back if
there is an issue with delivery.
-Lost purchasing economies of
scale from bulk buying discounts.
-Large orders can delay delivery.
-Staff must still be paid even if
not producing
- Cars
- Reduces costs and
spending and improves
competitiveness.
- Job production
- Personalized products like hairdressers for
specific customers. Custom work like a one-off
product
- Benefits
- -High quality work
-Flexibility to meet
customer needs (like
making a kitchen)
-Motivated workers with
skill
- -High quality work
-Flexibility to meet
customer needs (like
making a kitchen)
-Motivated workers with
skill
- Disadvantages
- -Expensive
-Slow
-Specialist
labour
- -Expensive
-Slow
-Specialist
labour
- Personalized products like hairdressers for
specific customers. Custom work like a one-off
product
- Lean production
- An approach to production to minimize waste. Efficiency can be
measured by cost per unit. Lower unit cost, more efficiant
- Advantages
- Helps reduce costs
- Helps reduce costs
- Disadvantages
- -Faulty products must be remade
-Any stock held costs money to
the warehouse
- -Faulty products must be remade
-Any stock held costs money to
the warehouse
- An approach to production to minimize waste. Efficiency can be
measured by cost per unit. Lower unit cost, more efficiant
- Just-in-case production
- Flow production
- Kaizen
- -Means
'continuous
improvement'
-All employees
are involved in
improving
how things are
done
-Employees in
teams to
review work
from previous
day to
improve
production
-Small
improvements
adds up
significant
savings in
time and
money over
time
- -Means
'continuous
improvement'
-All employees
are involved in
improving
how things are
done
-Employees in
teams to
review work
from previous
day to
improve
production
-Small
improvements
adds up
significant
savings in
time and
money over
time
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