RODUCTION AND MATERIALS MANAGEMENT (23UBBAC34)

Meaning Of Production :
Production is the process of making or manufacturing goods and products from raw
materials or components

Input – Process – Output

Scope Of Production Management :

Production management is a process or discipline that consists of four key areas:

production planning, budgeting, scheduling and control, which define the scope of production
management.

1.Production Planning

Production planning is figuring out the design of a product and how you’ll execute that
design. It’s about organizing tasks, resources, costs and schedules to deliver your product or
goods as efficiently as possible.

2.Production Budgeting
A production budget is an important production management document that allows
organizations to estimate the quantity of product they’ll need to produce to meet the
forecasted customer demand, minimize their operating costs and maintain their desired stock,
production and work-in-progress inventory levels.

3.Production Scheduling

Production scheduling is the planning and streamlining of processes for creating and
delivering projects to market. It takes into account supply chain management, labor, logistics,
costs and the timeframe for production.

What to be done?
When to be done?

How to be done?
4.Production Control

An integral part of manufacturing and supply chain management is production control,

which monitors production to keep production running smoothly. It’s used with inventory
control and quality control as part of the larger operations management.

Supply Chain Management : Raw Materials – Supplier - Factory – Distribution - Retail –

Customer.

5.Production Optimization

Production optimization refers to all the managerial actions that are taken to increase the
productivity of a production facility without acquiring additional resources such as labor or
equipment. This includes actions such as re-imagining the factory layout for a better flow of
materials around the shop floor, balancing the assembly line to make sure all employees have
a similar workload or making adjustments to the product itself so it’s easier to manufacture.

Functions Of Production Management :

1.Planning

2.Organizing
3.Staffing
4.Directing

5.Controlling
6.Coordinating

7.Decision Making
8.Budgeting.

1.Planning

This includes choosing the objectives of the production, the strategies to reach these
objectives, the necessary resources, and the production schedule. Demand forecasting,
estimating production capacity, and schedule-setting are other aspects of planning.
2.Organizing
Creating the organizational and physical framework required for production. This includes
how physical facilities including machinery and equipment are arranged as well as the
organizational structure that controls the authority and information flow.

3.Staffing
It include recruiting and educating the labor force required for manufacturing tasks. It
guarantees that the manufacturing division is staffed with qualified workers to manage a variety
of duties from quality control to machine operation.

4.Directing

Leading the workers and assisting them in performing effectively through communication
and encouragement are part of this role. By providing direction, managers may make sure that
staff members understand their roles and duties and are productively achieving their goals.

5.Controlling
Make sure that the manufacturing process is meeting performance goals and standards by
keeping an eye on it. This involves managing inventory levels, controlling costs and ensuring
quality. Adjustments are done when actual results differ from projected results.

6.Coordinating
Ensuring that many sectors and departments collaborate to achieve the shared production
objectives. To keep things running smoothly this involves coordinating the efforts of other
departments including sales, production, and procurement.

7.Decision Making
Making decisions to increase production efficiency based on analytics and data. This
includes strategic decisions for which product lines to provide, using new technologies, and
simplifying procedures.

8.Budgeting
 Allocating funds to different production tasks while making sure that expenses stay under
budget and that the manufacturing process is cost efficient.

Different Types Of Production System :

1.Job Production (Job Shop Production)

Definition: Producing a single product or a small batch of products to meet specific

customer requirements.

Features:

High customization
Skilled labor required

Low production volume

Flexible equipment.

Examples: Custom-made furniture, wedding dresses.

2.Batch Production
Definition: Producing a limited number of identical products in batches.

Features:

Moderate volume and variety

Equipment setup required for each batch
Economies of scale within each batch.

Examples: Bakery items, clothing, cookies.

3.Mass Production (Flow Production)
Definition: Large-scale production of standardized products in a continuous flow.

Features:
High volume, low variety

Automated and specialized machinery

Low cost per unit.

Examples: Automobiles, consumer electronics, bottled drinks.

4.Continuous Production
Definition: A production system that runs 24/7 without interruption to produce high volumes
of a single product.

Features:
Very high volume

Highly automated

Minimal human intervention.

Examples: Oil refining, chemical plants, electricity generation.

5.Project Based Production
Definition: Production of complex, one-time projects often carried out on-site.

Features:
Long duration

High cost and complexity

Unique and tailored output.

Examples: Construction of bridges, buildings, aircraft.

6.Flexible Manufacturing Systems (FMS)

Definition: A system that can produce a variety of products with minimal changeover time.

Features:
High flexibility and automation
Used in dynamic markets

Quick adaptation to product changes.

Examples: CNC machine-based systems for tools, Toyata Or Ford Using CNC (Computer
Controlled Manufacturing Process).

7.Lean Production System

Definition: Focused on minimizing waste while maximizing productivity.

Features:
Just-In-Time (JIT) inventory

Continuous improvement (Kaizen)

Value stream focus.

Examples: Toyota Production System.