Production

Description

GCSE GCSE Business Mind Map on Production, created by JThornton on 13/05/2013.
JThornton
Mind Map by JThornton, updated more than 1 year ago
JThornton
Created by JThornton over 11 years ago
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Resource summary

Production
  1. job
    1. advantages
      1. products are usually high quality, products can be made to meet needs of individual customers, workers often get more satisfaction from working on something till it's finished
      2. disadvantage
        1. Costs of production will be high, Labour costs may be high because job production often requires skilled labour
      3. Batch
        1. advantages
          1. the needs of different customers can be met by making batches of different goods, batches are made to meet specific orders from customers and this may reduce costs because the goods may not need storage, it may be possible to use specialist machines and to automate production so that costs are saved
          2. disadvantages
            1. it takes time to switch production from one batch to a different one machinery may need resetting this is added cost, it may be necessary to keep stocks of materials and components to be able to switch production. holding stock costs money, the tasks may be repetitive and boruing to the workers.
          3. Process
            1. advantages
              1. large amounts can be made, most processes can be automated to allow production costs to be kept low, the process is ideally suited to products that have to be of a consistent and very exact quality.
              2. disadvantage
                1. it's very expensive to set up a process system of production, a problem with one part of the production process stops the whole process, starting and stopping can take a long time
              3. flow
                1. advantages
                  1. large amounts can be made, the costs of production for each unit made are low because the firm benefits from economies of large scale production, machinery can be used helping to keep costs low, improvements in technology mean that not all the products need to be the same; variation in design can be programmed into the computer-controlling machine
                  2. disadvantages
                    1. goods are mass-produced and may not be good quality, it's very expensive to set up a production line, large stocks of materials may have to be kept to keep the production line supplied this may be expensive, if the production stop at any point on the assembly line because of mechinacle breakdown or industrial action there may be a complete shut down of production, jobs on assembly line can be repetitive and boring
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