Q2 Lesson 2

4 Ms of Operation
❖Describe the 4Ms of
operations in relation to
the business
opportunity,
❖Discuss the
organizational structure
❖Create a workflow.
 The Four Ms in the Production System
Methods

Manpower

Machines
Output
Materials
Method / Production Method
Refers to the process or technique of converting
raw materials to finished products.**

The selection of the method of production is

dependent on some factors, namely,

1. Product to produce
2. Mode of production
3. Manufacturing equipment to use
4. Required skills to do the work
Product to produce
Product
is the physical output of the whole production process.**

Heterogeneous product
has dissimilar characteristics, parts, and physical
appearance.**

Homogeneous product
has physical appearance, taste, or chemical content that can
hardly distinguished from that of the other product.
Mode of production
Refers to how the product will be produced.

The following production system may be used in

manufacturing the desired product:
1. Intermittent production system
2. Continuous production system
3. Just-in-time production system
Mode of production
1. Intermittent production system
is adopted when the production process is basically short
and the machines are frequently changed. (project method, job
order method, batch method)
2. Continuous production system
is adopted when the demand for the product is considered
constant. The production is not based on the order of customer
but for the stocking of inventories.
3. Just-in-time production system
goods are produced just in time when the market needs or
demands for them.
Project method – the product is usually substantial
in size and is bound by a specific time to complete
it.

Job order method – the production is completed by

a single employee or a batch of employees.

Batch method – the production undergoes several

stages and the product is transferred from one
worker to another.
Manpower
Refers to the human workforce involved in the manufacture of
products.

Manpower Criteria
1. Educational qualifications and experience required for the job
2. Status of employment, whether permanent or temporary
3. Number of workers required for the job
4. Skills and expertise required for the job
5. Appropriate time the worker is needed
6. Conduct of background checking and issuance of requirements
7. Amount of salary or wages and other mandatory benefits
8. Availability of potential workers in the community
Machine
Refers to the manufacturing equipment used in the production of goods or
delivery of services

Elements to consider in purchasing equipment

1. Types of product to be produce
2. Production system to be adopted
3. Cost of the equipment
4. Capacity of the equipment
5. Availability of spare parts in the local market
6. Efficiency of the equipment
7. The skills required in running the equipment
 Materials
Refers to the raw materials needed in the production of a
product.**

Important factors to consider in the selection of raw materials

1. Cost
2. Quality
3. Availability
4. Credibility of suppliers
5. Waste that the raw materials may produce
•An organizational structure is a system that
outlines how certain activities are directed
in order to achieve the goals of an
organization.
•These activities can include rules, roles
and responsibilities.
•The organizational structure also
determines how information flows from
level to level within the company.
Simple Organizational Structure
Product Description
Is the part of the product listing that
tells you what the product is and what it
does.

If the product description is written in a

way that encourages you to purchase it,
then it is well written.
What is a Workflow?
Workflow is the definition, execution
and automation of business processes
where tasks, information or documents
are passed from one participant to
another for action, according to a set of
procedural rules.
Organizations use workflows to coordinate tasks between
people and synchronize data between systems, with the
ultimate goal of improving organizational efficiency,
responsiveness and profitability.
A fully functional digital workflow provides four key
benefits to a company:
✓ Improved productivity
✓ Process transparency
✓ Faster business reaction time
✓ Improved accountability
Words to ponder….