2. TYPES OF PRODUCTION
PROCESSES
Projects
Batch Production
Mass Production
Continuous Production
3. PROJECTS
Project is the one-of-a-kind production of a
product to customer order.
Involve large sums of money & last a
considerable length of time.
Production process as well as final product are
basically designed new for each customer
order.
4. BATCH PRODUCTION
Batch production systems process many
different jobs through the system in groups or
batches.
It is characterized by fluctuating demand, short
production runs of a wide variety of products,
& small to moderate quantities of any given
product made to customer order.
It is also known as job shops.
5. MASS PRODUCTION
It produces large volumes of a standard
product for a mass market.
It is also known as repetitive production and
used by producers who need to create more
standardized products in larger quantities than
batch production can economically handle
It is usually associated with flow lines or
assembly lines.
6. CONTINUOUS PRODUCTION
It is used for very high level of commodity
products that are very standardized.
The system is highly automated.
8. FACTORS INFLUENCING LAYOUT
Product
Volume of Production
Type of machinery
Type of industry
Flexibility
Materials
Location of plant
Employees
Management policies
9. TYPES OF PLANT LAYOUT
Process Layout
Product Layout
Combined Layout
Cellular Layout
Fixed position Layout
Service Layout
10. PRODUCT LAYOUT
Layout that uses standardized processing
operations to achieve smooth, rapid, high-volume
flow
Product layout unique characteristics are:
• Resources are specialized
• Facilities are capital intensive
• Processing rates are faster
• Material handling costs are lower
• Space requirements for inventory storage are lower
• Flexibility is low relative to the market
11. EXAMPLE OF PRODUCT LAYOUT
Racks containing Racks containing Racks containing
headlight sub- tail-light sub- steering wheel
assembly assembly sub-assembly
Workstation: 1 Workstation: 2 Workstation: 3
Car 1 Car 2 Car 3
12. ADVANTAGES OF PRODUCT LAYOUT
High rate of output
Low unit cost
Labor specialization
Low material handling cost
High utilization of labor and equipment
Established routing and scheduling
13. DISADVANTAGES OF PRODUCT
LAYOUT
Creates dull, repetitive jobs
Poorly skilled workers may not maintain
equipment or quality of output
Fairly inflexible to changes in volume
Highly susceptible to shutdowns
Needs preventive maintenance
Expensive layout
14. PROCESS LAYOUT
Layout that uses standardized processing
operations to achieve smooth, rapid, high-volume
flow
Product layout unique characteristics are:
• Resources are specialized
• Facilities are capital intensive
• Processing rates are faster
• Material handling costs are lower
• Space requirements for inventory storage are lower
• Flexibility is low relative to the market
15. PROCESS LAYOUT
Process Layout (functional)
Raw Material Store Turning Shop Electro platting shop
(B)
(D)
(C)
Paint Shop
Drilling m/c Office (A)
(E) (G)
Welding Shop (F)
Heat Treatment Final Assembly Dispatch of FG
Area (H) (I) (J)
Used for Intermittent processing
Job Shop or Batch Processes
16. ADVANTAGES
Can handle a variety of processing
requirements
Not particularly vulnerable to equipment
failures
Equipments are less costly
Possible to use individual incentive plans
17. DISADVANTAGES
In-process inventory costs can be high
Challenging routing and scheduling
Equipment utilization rates are low
Material handling slow and inefficient
Special attention for each product or customer
Accounting and purchasing are more involved
18. HYBRID (COMBINED) LAYOUT
Combine elements of both product & process
layouts
Maintain some of the efficiencies of product
layouts
Maintain some of the flexibility of process
layouts
Types
Cellular Layout
Flexible Manufacturing System
