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Production and Productivity - Coggle Diagram
Production and Productivity
Batch Production
Large quantities, similar products,Allows for flexibility,More planning and co-ordination needed,Low production cost per unit,Can become boring
Job Production
One job finishes, one job starts,Bespoke, when demand is low,More flexibility,Each item will be different,Employees have multiple skills
Flow Production
When demand is high,Can produce larger quantities,The process is continuous,A standardised product is made
Production
turning inputs (resources),into outputs (products)
Productivity
the rate at which the output is produced
Disadvantages of each method
batch Production:
Requires planning,Delay between steps,Lower worker motivation,Small batches = unit costs
rise
Flow Production:
High set-up costs,Low worker motivation,Inflexible,Breakdown issues
Job Production:
Slow production,More expensive (labour)
Advantages of each method
batch Production:
Lower unit costs,Flexible with orders
Flow Production:
Lowest unit costs,Fast production,can be flexible
Job Production
:Quality output,Motivated workers,Suit customer needs,Charge higher prices
Productivity
:The rate at which goods are produced and the amount produced. This is in relation to the work, time and money needed to produce them.
Labour Productivity
Total Output/Number of workers
Capital Productivity
Total Output/Amount of capital