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Welcome 
to 
Presentation of 
Production Management 
System
INDEX 
Chapter – 1 Production Management 
1.1 What is Production? 
1.2What 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
What is Production? 
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 Management? 
Management Principles – 
How to manage the production ? 
~ Application of Principles 
~ Conversion/ Operation 
~ Final goods & services
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 
Process 
• Conversion 
sub-system 
• Output 
Finished 
goods 
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 
Production 
Process 
Production 
Analytical 
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 ~ 
• Increases with good quality of goods & services 
 Competitive Advantage ~ 
• Greater flexibility 
• Shorter lead time 
• Reduced Wastage 
• Better Customer Services 
• Higher inventory terms
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!

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Production management system, plant location

  • 1. Welcome to Presentation of Production Management System
  • 2. INDEX Chapter – 1 Production Management 1.1 What is Production? 1.2What 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
  • 3. What is Production? 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
  • 4. What is Production Management? Management Principles – How to manage the production ? ~ Application of Principles ~ Conversion/ Operation ~ Final goods & services
  • 5. 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
  • 6. • Inputs Resources Process • Conversion sub-system • Output Finished goods Production as a system
  • 7. Inputs of a Production System  External Legal, Economic, Social, Technological  Market Competition, Customer Desires, Product Info.  Primary Resources Materials, Personnel, Capital, Utilities
  • 8. Conversion Subsystem  Physical (Manufacturing)  Locational Services (Transportation)  Exchange Services (Retailing)  Storage Services (Warehousing)  Other Private Services (Insurance)  Government Services (Federal, State, Local)
  • 9. Outputs of a Production System  Direct Products & Services  Indirect Waste, Pollution & Technological Advances
  • 10. Classification of Production System Production System Intermittent Production system Job Shop System Batch Production Continuous flow Shop production system Mass Production Process Production Analytical Synthetic Assembly Production
  • 11. 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.
  • 12. 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 .
  • 13. Importance of Production Management Standard of Living ~ • Increases with good quality of goods & services  Competitive Advantage ~ • Greater flexibility • Shorter lead time • Reduced Wastage • Better Customer Services • Higher inventory terms
  • 14. Chapter No. 2 Plant Location
  • 15. 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
  • 16. What is Plant/Facility Location? Facility Location Geographical site Operation Achievement of maximum production & Economy effectiveness
  • 17. 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
  • 18. 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
  • 19. 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
  • 20. 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
  • 21. 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.
  • 22. Presented by, Mr. Rahul Shrinivas Boddhul BBA MBA Solapur University, SOLAPUR Thank you! Have a nice day!