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Session 1 Business Operations
Session 1 Business Operations
The below-mentioned article provides a full explanation of the Meaning and Types of Production Function.
The production system is the framework in which the conversion of input into output occurs. At the one end
of the production system are the inputs and at the other end, outputs, inputs, and output are linked by
certain operations or processes impact to the inputs and are called transformation process.
(i) Inputs-
Men
Machines
Material
Money
Methods
Management
(ii) Outputs-
Goods produced
Services rendered
Job Production
Batch Production
continuous physical flow of material. It makes use of specialpurpose machines and produces standardized
Such processes are adopted by the concern which produces goods or services continuously by putting
them through a series of successive connected operations in anticipation of customer demand and rather
Petroleum Industry
Chemicals Industry
anticipation of demand through the demand of the product may not be uniform through the year.
Standardization is the keynote of mass production. This system may also be called 'Flow Production
System'.
This system is an extended form of mass production where production is carried on continuously through a
Generally under this system finished product of one process is used in the next process as a raw material
until the last process. Large industries like petroleum refining, heavy chemical industries generally use this
system of production.
Under this system, generally, one principal raw material is transformed into several products at different
stages of operations. For Example- Crude oil is processed into kerosene, gasoline, and other products.
Intermittent Production System situations are those where the facilities must be flexible enough to handle a
wide varietyof products and sizes or where the basic nature of activity imposes changes of important
done more often on the basis of customer orders. The finished product is heterogeneous but within a range
This type of production system is based on the nature of the proper management system.
Auto-Mobile Industry
Electrical Goods
(i) Job Production-
In this system, goods are produced according to the orders of the customers. Continuous demand for such
items is not assured and therefore production is done only when the orders for the manufacturing of items
(ii) Batch Production-
Under this system, the manufacturing is done in batches or groups or lots either on the basis of customer's
order or with a hope of a continuous demand of the product. Under this system, medium scale production is
warranted. The best example of this type of production system is the chemical industry where different