Welcome

to

Presentation of

Production Management System

INDEX

Chapter – 1 Production Management

1.1 What is Production?

1.2 What is Production Management?

1.3 Objectives of Production Management

1.4 Process of Production Management

1.5 Classification of Production system

1.6 Features of Production system

1.7 Importance of Production Management

A production system takes inputs and converts them into

outputs.

1) Creation of good & services

2) To satisfy needs

3) Conversion

4) Final goods & services

What is Production?

How to manage the production ?

~ Application of Principles

~ Conversion/ Operation

~ Final goods & services

What is Production Management?

Management Principles –

Objectives of Production Management To satisfy customer needs

To minimize waste & cost cutting

To manage materials

To utilize recourses

To minimize cost of production

To smooth production process

To use new technology

To get maximum output

• Inputs

Resources

Production as a system

Inputs of a Production System

External

Legal, Economic, Social, Technological

Market

Competition, Customer Desires, Product Info.

Primary Resources

Materials, Personnel, Capital, Utilities

Conversion Subsystem

Physical (Manufacturing)

Locational Services (Transportation)

Exchange Services (Retailing)

Storage Services (Warehousing)

Other Private Services (Insurance)

Government Services (Federal, State, Local)

Outputs of a Production System

Direct

Products & Services

Indirect

Waste,

Pollution &

Technological Advances

Classification of Production System

Production System

Intermittent Production system

Job Shop System

Batch Production

Continuous flow Shop production system

Mass Producti

on

Process Producti

onAnalyt

ical

Synthetic

Assembly

Production

Classification of Production System

Feature of Intermittent production system ~

Flow of production is not continuous.

Verity of products are produced.

Volume of production is small.

General purpose machines are used.

Sequence of operation changes as per design.

Production depends on customer orders.

Classification of Production System

Feature of continuous production system ~

Flow of production is continuous & intermittent.

Products are standardized.

Products are produced as per quality standers.

Products are produced in anticipation of demand.

Standardized routing sheets & schedules are

prepared .

Importance of Production Management

Standard of Living ~

Competitive Advantage ~

• Greater flexibility

• Shorter lead time

• Reduced Wastage

• Better Customer Services

• Higher inventory terms

• Increases with good quality of goods & services

Chapter No. 2

Plant Location

INDEX

Chapter – 2 Plant Location

2.1 What is Plant Location

2.2 Need for selection of a plant

2.3 Factors affects to the plant

2.4 End of the presentation

What is Plant/Facility Location?

Facility Location

Geographical site

Operation

Achievement of maximum production &

Economy effectiveness

Need for location decision Starting a new business

Expansion

Not able to achieve the demand

Due to rising cost of production

Market test, preferences, etc.

Social & economical reasons

Does not renew the lease

Depends on company

Factors affecting plant location decision

1) Law & Order situation

2) Availability of infrastructure facility

3) Good industrial relations

4) Availability of skilled workforce

5) Social infrastructure

Factors affecting plant location decision(cont.)

6) Investor friendly attitude

7) Nearness to market

8) Nearness to raw materials’ source

9) Nearness to supportive industrial & services

10) Must meet safety requirements &

11) Miscellaneous factors

Plant location decision need detailed analysis because -

1) Wrong plant location = Higher cost

2) If shifting = very disturbing & largely affect on cycle

of production

3) Big multinational companies invest millions of rupees

if so it will affect. etc

Examples of Plant Location in India

1) Textile Mills = Mumbai, Ahmedabad

2) Nuclear power plant = Environmental safety, socio-economic etc.

3) Steel plant = Jharkhand, Bengal, Chattisgad, Orissa

4) Cement industries = Coal deposites

5) Coal based fertilizer = Ramagundam

6) Gas based fertilizer = Namroop, Tal Vaishet

7) Oil based fertilizer = Naptha (Mangalore, Madras, Cochin)

8) Software Companies = Pune, Banglore, etc.

Presented by,

Mr. Rahul Shrinivas Boddhul BBA MBA

Solapur University,

SOLAPUR

Thank you!Have a nice day!