The following factors will influence whether a business adopts one of the four methods of production considered – that is job, batch, flow or flow production with the development to mass customization.
• If the market is very small, such as for designer clothes, then job production is likely to be used. Flow production is most efficiently adopted when the market for similar or identical products is very large and consistent throughout the year. If mass production is used in this way, then mass marketing methods will also have to be adopted to sell the high output levels that can be manufactured. Even in a market for mass produced items, such as cars, there may be market niches that will allow smaller manufacturers to survive by making one-off products or batches of identical goods before changing the design or style for another model. If the market demands a large number of units, but at different times of the year, for example textbooks at the start of the academic year, then batch production might be most appropriate.
• A purpose-built flow production line is difficult and expensive to construct. Small firms are unlikely to be able to afford this type of investment and are more likely to use job or batch production.
The Essay on Computer Production Market
The market for computer products is a multi-billion dollar business where one can find a perfect balance of technology and efficiency. The huge industrial market is lead by such names as IBM, Hewlett Packard, and Compaq. In the world today, computers are used for a variety of tasks and play a crucial role in the areas of academics and business. The steps that are taken to bring the computer from ...
• Large-scale flow production often requires a supply of relatively unskilled workers and a large, flat land area. Job production needs skilled crafts people. If any of these resources are unavailable, or very limited in supply, then the production method may have to be adapted to suit available resources, given the market constraint referred to above.
• If firms want the cost advantages of high volumes combined with the ability to make slightly different products for different markets, then mass customization would be most appropriate. As was seen above, technology is giving firms the flexibility to produce a variety of models from the one basic design and production process.
Most firms do not just use one production method. It is quite common for many businesses to use all three production methods to gain the benefits that they offer. A French restaurant might have a continuous supply of staple items on the menu such as frites but make batches of a dish that can be kept hot for a long time (or even frozen and reheated easily) such as boeuf bourguignon. Specialist dishes that have to be cooked at the table, such as flambés, will use job production. Standard Land Rover models are made on a line production system of mass production. Orders for military versions with special features in common will be made together in one batch. One-off orders, such as a bullet-proof, gold-plated model for an oil prince would be hand assembled and finished.