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3.3.1 - Production processes GapFill
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In business, the owners have to make many decisions which can have an impact on the success of the enterprise. One decision which is often made easier by the nature and type of products produced is the process. There are three main types – job, batch and flow – and each of them has advantages and disadvantages.
Job production is useful for goods that are unique, bespoke or a one-off. Often, the product being produced stays still and the staff move around it. For example, a helicopter or a cruise ship will remain while the various skilled staff move around it. Other examples of products made using the job production method are a wedding cake and a tailored suit. They are because they are made to the customers' exact specifications and are one-offs. The advantage of producing goods in this way is that high prices can be charged because of the skill of the staff and the uniqueness of the product. The disadvantage is that as labour is required, there may be high labour costs.
Flow production is sometimes called production and means that goods are produced in flow on a production line. Cars are made this way on an assembly line. It is called this as the workers assemble the cars from various parts as the cars move round the factory. Another example of this is chocolate, which is made in a continuous flow. An obvious advantage of flow production is that almost all of the production process can be sped up through automation. The disadvantage of this method is that anyone working on the production line may have a very repetitive job, which can lead to low levels.
Lean production methods are also important as these can reduce . Large businesses may be able to negotiate with and introduce a just-in-time stock control method. This relies on suppliers being able to get raw materials or components to the factory following an order being placed.