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Scope of Production Management

Production function of management involves a wide range of activities from the palnt location to the packing to products to be distributed by the marketing department of the enterprise. Production management includes the following operations :
     (i) Design of Products : It is the top management which determines the product to be produced by the firm. But the designing of the product is the responsibility of the production manager. Product designing deals with form and function. The form design deals with product, shape and appearance whereas the functions design deals with its working.

      (ii) Design of production system : Production system is the framework within which the conversion of inputs into output occurs.
     There are three basic kinds of production system, namely :
  • Process production,
  • Job production and 
  • Intermitted production.
      The choice of a production system will depend upon the type of product to be produced and the scale of production carried on by the firm.

    (iii) Production planning and control : It deals with the determination and regulation of production processes. After the production system has been designed and activated, the production manager is concerned with production planning. He establish the sequence of operations of each individual item, part or assemly and lays down the schedule of its completion.
    Production planning is followed by production control. Production control is a process by which actual performance is compared with the pre-determined standards.
      The production manager has to apply control in these important areas :
  • Control of investories.
  • Control of flow of raw - materials into the plan and
  • Control of work in process.

   (iv) Selection of location : Plant should be located at such a place where production and distribution costs are the minimum. Costs which influece the locational decision include cost of land, rental value, transportation cost, labour cost, cost of water and power etc. Other factors which influence the selection of location are : process units, process outputs, process requirements, Government policy, availability of site, personal preferences etc.

     (v) Layout of Plant : The layout of plant represents an arrangement of machines and facilities. The layout of plant should be efficient to achieve economy and effiency in operations of the production department. An efficient layout is one that allows materials to move through the necessary operations rapidly and in the most direct way possible. It takes care of the intensity of in-process items and tries to shorten all heavity travelled routes. The type of layout depends mainly upon the type of production system adopted by the production department.

    (vi) selection of plant and Equipment :
    The selection of plant and equipment depends upon :
  • What is available or what can be made available, i.e. technology feasibility constraints and
  • What is economically reasonable, i.e. cost constraints.
     The quality of output, life of the machine and adapatbility of the facilities are also of important considerations.

    (vii) Research and Development : By research we mean critical investigation in order to acquire new knowledge. Applied research explores information for the practical problems in mind and thus is ditected to achieve immediate solutions of practical problems. Development comes after applied research. It involves design and fabrication of new products and then testing their usefulness keeping in view the needs and demands of customers.              

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