Product selection and design:
Production management always strives to select the right product and design to meet the customer’s expectations. It also focuses on how long period the product will survive in the market. right product means the product which has market potential and can be manufactured or produced with economic cost. The cost is responsible to offer products with customers affordability.
Product design is the process that visualizes, and conceptualizes the product features, specifications, functionality, etc.
Example,
- Product design of any electronic product such as LED TVs, Mobile Phones, and the like has its specifications, functionality, and features which can be determined or improved in product design. So the product design help to improve the product as per expectation that can meet customer’s expectation and grow in the market.
- Price of Mobile phones and LED TVs is less as compared to the price of the same 10 years ago. Production management is involved in preparing the product design which requires less cost to manufacture.
Selection of production type:
The manufacturing system or the production type to produce the product depends upon the kind of product need to manufacture. After selecting the product to manufacture or produce, there need to determine suitable manufacturing system production management practices involved in determining the suitable or appropriate manufacturing system.
Selection of a Manufacturing system or production type is mostly based on the quantity and varieties of products need to produce. The following graph. 1.1 shows how the type of production or manufacturing system is selected based on the volume and variety of products to be produced.
Plant Location
Evaluation and determining a suitable location to manufacture the product is also an important scope area of Production management. It involves in study of various factors which are favorable for manufacturing the products and according to that study, the location would be selected where manufacturing plant will be established. While selecting the plant location it is essential to consider the factors such as availability of proper infrastructural facilities such as transportation by road, rail and airway, availability of raw material, labors, regular electricity, water, and market. The availability of all of these factors can reduce the cost and increase the productivity of organization.
Factors of products such as land, labour, capital, and management or methods plays important role in running manufacturing or production. Choosing right plant location is the prime goal of production management.
Plant Layout:
Plant layout is the structure of the arrangement of all the physical facilities utilized in the manufacturing unit. This structure is responsible for excellence in the execution of various activities in manufacturing. Efficient and effective manufacturing can be made possible by plant layout. Plant layout makes the complete and proper utilization of available space and resources.
Example
- Any manufacturing company arranges all the machinery of manufacturing at the same place where similar operations are executed. The administrative department is located at a place apart from manufacturing. Store and inventory is located near to the manufacturing processes to keep the distance less to move the material from the place where the product is manufactured and to the place where it is stored. It reduces the cost and risk of damaging the material.
- Hospital arranges the medical equipment based on their requirements such as medical equipment for ICU located in ICU. Medical equipment required to test is located at the same place to increase the convenience and complete the work in the right time.
Capacity Planning
Capacity planning is involved in taking decisions in advance regarding the requirement of the material, and physical facilities in order to fulfill the future demand. It takes the decisions such as making available the machinery, purchasing the material, Maintaining the stock of specific materials, Advancement in technology to increase the capacity of production, etc.
Procurement of all the required resources for the execution of the manufacturing activities is done by capacity Planning. Capacity planning always focuses on maintaining all the resources as per the requirements in order to fulfill the daily requirements and contribute to Epsilon C in the execution of all the activities.
Production management activities play an important role in determining the appropriate capacity of the plant so that excess production and less production can be avoided. In this way, the factors such as the future demand, current capital, and type of product to be produced are the important factors considered while deciding the capacity of the plant.
Quality Control
The continuous growth of any company depends upon the way they have been implementing quality standards. it implements quality standards in the manufacturing of the products or delivery of the services. Production management is involved in setting the standard of the criteria to select the various resources required to manufacture or produce the product. The production management determines the extent to which the quality standard is maintained, or needs to be maintained while executing all the activities of the manufacturing or production. Maintenance management of production management involved reducing defects or wastages by implementing maintenance management practices. Quality control always focuses on preventing various defects or faulty production and reduces the vestiges, which enhances efficiency and Production capacity. By reducing the defects and vestiges, production management can reduce the cost required to produce the product. It helps to make the optimum utilization of available sources.
Cost Control
Cost reduction is the prime objective of production management. It involves introducing the cost and increasing the production capacity by implementing various methods such as work study. Work, study, method, study, maintenance management. These methods, or the techniques of production management, involves in reducing the vestiges and improves the production management practices. Now, cost control involving identifying the unnecessary activities, which in all unnecessary cost. Production manager avoids this unnecessary activities and expenses in order to increase the productivity.