AS Business Studies. How are these products made?
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Transcript of AS Business Studies. How are these products made?
How are these products made?For each of the products (Wembley Stadium, Coca-Cola,
Bread) answer the following questions:
1. How many of these goods will be produced?
2. How skilled will the workers need to be for the production process?
3. How much will it cost to produce just one unit?
4. Will the workers be interested in their work?
Job ProductionJob production is used to create one-off orders
or ‘jobs’ especially made for the purpose.
Flow Production (Mass Production)Flow Production is a production line method,
where product is continuously produced, flowing from one stage of production to the next
Advantages of Job Production1. Meets customer´s exact needs
2. Products are of a high quality
3. Workers are motivated
4. Job organisation is easy
Disadvantages of Job Production1-Expensive
2-Requires a lot of tools, machinery and equipment
3-Lengthy lead times
4-High selling costs
Disadvantages of Batch Production 1 -Careful planning and co-ordination required
2- Subject to delays
3- Expensive complex machinery 4- Small batches mean high unit costs 5- Money tied up in work-in-progress
Advantages of Flow Production-Economies of Scale
-Machinery can replace labour
-Responds quickly to changes in demand so less need to stockpile