5.2 Production Methods Flashcards
1
Q
Job production
A
Customized or tailor made
Meet requirements of customers
Product is finished before the next is started
eg Haircut, Suit, Medical Operation, Construction of a building
PROS:
- High quality
- High EE motivation
- Unique Products
CONS:
- Time consuming
- Labour intensive
- Need specialised labour & tools
2
Q
Batch Production
A
Producing numerous amounts of similar products.
Produce a group then start next batch
Eg. bakery, newspaper, clothes
PROS:
- Some economies of scale
- Some product variety
- Can diversify number of products sold
CONS:
- Some EE motivation
- Some degree of inflexability
3
Q
Mass Production
A
Producing large amounts of standardised products
Usually highly automated
Moves stations ( 1->2->3)
Eg. Cars, Electronics, Toys
PROS:
- High economies of scale & Lower unit costs
- Fixed costs are spread over a large quantity
- Low Labour costs
- Standardized products –> easy to sell
CONS:
- Large set-up costs
- Low EE motivation
- Less product variety
- Inflexibility –> Settings on machinery
- Higher stoage costs
4
Q
Flow Production
A
Same as mass production BUT continuous
Eg. Oil Rig
