Production processes - AQAProduction Processes

A business must choose the right production method to suit its needs. They also have a choice between keeping surplus stock or using just-in-time stock control in order to meet customer demand.

Part ofBusinessBusiness operations

Production Processes

An important area of a business is . This functional area is in charge of taking inputs and turning them into outputs. This is known as the production process.

Methods of production

Job production

Job production occurs when a business produces products that meet the specific requirements of the customer. Each time a new product is made, changes may need to be made to the production process. Some examples of job production may include made-to-measure clothes, handmade crafts and bridges.

Some advantages of job production:

  • the business may be able to charge a higher price for the product
  • products are likely to be high quality
  • the variety of work may mean employees are less likely to become bored and demotivated at work

Some disadvantages of job production:

  • expensive to produce as each product is different
  • employees need to be skilled and may require training

Flow production

Flow production occurs when a business makes large numbers of identical products on a continuous production line. Some of examples of flow production include chocolate bars, televisions and bottled drinks.

Advantages of flow production:

  • the business is able to produce large volumes of products
  • employees can in a small number of tasks. This is also known as division of labour
  • producing in large quantities reduces the cost per unit

Disadvantages of flow production:

  • High initial costs of machinery to set up the business
  • A lack of flexibility, as all products need to be identical or fairly similar
  • Employees may become bored or demotivated due to their limited range of tasks
  • Large investment into things like expensive machinery leads to increased risks