Job Production
What is job production?
A production method where one unique product is made at a time, usually for a specific client.
What is batch production?
Producing items in groups of identical products with small changes that are made to meet different customers needs
What is mass/ flow production?
The production of large amounts of standardized products on an assembly line.
What is mass customization?
Producing large amounts of goods that can be adjusted to customer requests/ specifications
Give 3 examples of job production
Haircuts, art commissions, custom car wraps, etc.
Give 3 example of batch production
Bakery, clothing retail, fast food, etc.
How does mass production lead to low average costs?
Mass production generates economies of scale & high productivity, leading to low average costs.
How do businesses who use this operations method, generate revenues and profits despite the higher costs?
They charge higher prices for customized items
Identify 1 advantage & 1 disadvantage of job production listed on the kognity.
Advantages: Flexibility and choice, high quality, high profit margins, and high worker motivation
Disadvantages: High costs, time-consuming, cash flow problems
Name 1 advantage and disadvantage of batch production. Define them.
A: Economies of scale, flexibility on meeting customers needs, low risk
D: Less flexibility then job production, higher storage cost, lower worker motivation, higher production costs than mass production
Identify 1 advantage & 1 disadvantage of using mass production listed on the kognity.
Advantages: Large-scale production, standardized quality, lower costs of production
Disadvantages: Less flexibility, Lower worker motivation, set-up/running/replacement & storage costs
List one advantage and disadvantage of mass customization
Advantages: customer satisfaction and loyalty, lower costs, higher prices and profits
Disadvantages: handling returns, higher costs for customisation and time
Would job production provide high profit margins, and why?
Yes it would provide high profit margins, this is because products can be sold for a higher price due to their unique specifications.
How are alterations to products decided?
Made after analyzing the demand after the first batch.
What type of techniques must always occur in mass production?
Companies must be able to implement robust quality control techniques so that output can be regularly checked.
In what situation is mass customization especially important for?
For global businesses that face different customer expectations in the countries where they operate
Why might it be difficult to achieve economies of scale with job production
Economies of scale can be difficult since production can be costly as job production is achieved through specialized and skilled workers using lower quantities of materials.
What is batch production a compromise to? Explain why.
Job production and mass/flow production
What were the 3 product examples given for mass/flow production during the presentation?
Smartphones, automobiles, packaged foods.
What is adaptive customization?
Customers can choose from pre-set customisations provided by the business