In: Operations Management
Describe the four basic types of production processes. What are the advantages and disadvantages of each? When should each be used?
Four Basic types of production process are
1) Continuous production : Such type of production process is used when Volume of product is very high and Variety is very less. Commodity kind of product possess this property of less variety and more volume Advantage can be low cost due to Volume and disadvantage can be less customization. Example is Oil industry like petroleum refining
2) Mass produnction : Such type is used where Volume is high and little variety is there. Again Advantage is cost optimization and disadvantage can be poor quality due to mass production. Example can be Fast moving consumer goods like food.
3) Batch production: When volume is not so high and There is some variety in product family Batch production process is used, Advantage is that multiple products are churned by production and disatvantage can be that there is complex production setup An example os thi can Be Flexible wires manufacturing where there is variety of products based on color and size of conductor and production setup is complex
4) Project: When volume is not at all required, product is highly customized and is made according to market requirement Project manufacturing is preferred, Advantage are Flexibility and customization whereas disadvantage are that its lead time is very high, Example can be modified car