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The Importance Of Production Function And Production Management

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    Production is a scientific procedure which involves transmutation of natural stuff input into coveted merchandise or service end product by adding economic value. Production can loosely categorise into following based on technique:

    Production through separation: It involves desired end product is achieved through separation or extraction from natural stuffs. A authoritative illustration of separation or extraction is Oil into assorted fuel merchandises.

    Production by alteration or betterment: It involves alteration in chemical and mechanical parametric quantities of the natural stuff without changing physical properties of the natural stuff. Annealing procedure ( heating at high temperatures and so chilling ) , is illustration of production by alteration or betterment.

    Production by assembly: Car production and computing machine are illustration of production by assembly.

    Production and Operations Management

    Importance of Production Function and Production Management

    Successful organisations have good defined and efficient line map and support map. Production comes under the class of line map which straight affects client experience and at that place by hereafter of organisation itself.

    Aim of production map is to add value to merchandise or service which will make a strong and long permanent client relationship or association. And this can be achieved by healthy and productive association between Marketing and Production people. Marketing map people are frontline representative of the company and supply penetrations to existent merchandise demands of clients.

    An effectual planning and control on production parametric quantities to accomplish or make value for clients is called production direction.

    Production direction refers to the application of direction rules to the production map in a mill. in other words, production direction involves application of planning, organizing, directing and commanding to the production procedure.

    Th application of the direction to the field of the production has been the consequence of at least three development. first is the development of mill system of production. until the outgrowth of the construct of the fabrication, there was no such things every bit direction as we know is true that people operated concern of one type or another, but for the most portion, these people were proprietors of concern and did non see themselves every bit director as good.

    The really kernel of any concern is to provide demands of client by supplying services and goods, and in procedure create value for clients and work out their jobs. Production and operations direction negotiations about using concern organisation and direction constructs in creative activity of goods and services.

    Operationss Management

    As to present value for clients in merchandises and services, it is indispensable for the company to make the followers:

    Identify the client demands and convert that into a specific merchandise or service ( Numberss of merchandises required for specific period of clip )

    Based on merchandise demand do back-ward working to place natural stuff demands

    Engage internal and external sellers to make supply concatenation for natural stuff and finished goods between seller > production installation > clients.

    Operations direction gaining controls above identified 3 points.

    Production Management v/s Operations Management

    A high degree comparing which distinguishable production and operations direction can be done on following features:

    End product: Production direction trades with fabrication of merchandises like ( computing machine, auto, etc ) while operations direction cover both merchandises and services.

    Use of Output: Merchandises like computer/car are utilized over a period of clip whereas services need to be consumed instantly

    Categorization of work: To bring forth merchandises like computer/car more of capital equipment and less labors are required while services require more labour and lesser capital equipment.

    Customer Contact: There is no engagement of client during production whereas for services a changeless contact with client is required.

    Production direction and operations direction both are really indispensable in run intoing aim of an organisation.


    Recent tendencies in production and operation direction relate to planetary competition and the impact it has on the fabrication houses. some of the recent tendencies are:

    Global market topographic point: Globalization of concern has compelled many fabrication houses to hold operations in many states where they have certain economic advantage this has resulted in a degree of competition among the fabrication houses throughout the universe.

    Production /operation scheme: more and more houses are acknowledging the importance of production /operation scheme for the overall success of their concern and the necessity for associating it to their overall concern scheme.

    Entire quality direction: TQM attack has been adopted by many houses to accomplish client satisfaction by ne’er stoping quest for bettering the quality of goods and services.

    Time decrease: Decrease of fabricating rhythm clip and velocity to market to a new merchandise provide competitory border to a house over other houses when companies can supply merchandises at the same monetary value and quality, quicker bringing provide one house competitory border over the other.

    Supply concatenation direction: Management of supply concatenation from providers to concluding client reduces the cost of transit, repositing, and distribution throughout the supply concatenation.

    Thin production: Production system have become thin production system which use minimum sum of resources to bring forth a high volume of high quality goodswith some assortment.


    Production and operations direction concern with the transition of inputs into end products, utilizing physical resources, so as to supply the coveted public-service corporations to the client while run intoing the otherorganizational aims of effectivity, efficiency and adoptability. It distinguishes itself from other maps such as forces, selling, finance, etc. , by its primary concern for ‘conversion by utilizing physical resources. ‘ Following are the activities which are listed under production and operations direction maps:

    1. Location of installations

    2. Plant layouts and stuff handling

    3. Merchandise design

    4. Procedure design

    5. Production and planning control

    6. Quality control

    7. Materials direction

    8. Maintenance direction.

    Location OF FACILITIES

    Location of installations for operations is a long-run capacity determination which involves a long term

    committedness about the geographically inactive factors that affect a concern organisation. It is an

    of import strategic degree decision-making for an organisation.


    Plant layout refers to the physical agreement of installations. It is the constellation of sections, work Centres and equipment in the transition procedure. The overall aim of the works layout is to plan a physical agreement that meets the needed end product quality and measure most economically.

    ‘Material Handling ‘ refers to the ‘moving of stuffs from the shop room to the machine and from one machine to the following during the procedure of industry ‘ . It is besides defined as the ‘art and scientific discipline of traveling, packing and hive awaying of merchandises in any signifier ‘ .


    Product design trades with transition of thoughts into world. Every concern organisation have, develop and present new merchandises as a endurance and growing scheme. Developing the new merchandises and establishing them in the market is the biggest challenge faced by the organisations. The full procedure of demand designation to physical industries of merchandise involves three maps: selling, merchandise development, fabrication.


    Process design is a macroscopic decision-making of an overall procedure path for change overing the natural stuff into finished goods. These determinations encompass the choice of a procedure, pick of engineering, procedure flow analysis and layout of the installations.


    Production planning and control can be defined as the procedure of be aftering the production in progress, puting the exact path of each point, repairing the starting and coating day of the months for each point, to give production orders to stores and to follow up the advancement of merchandises harmonizing to orders.

    Qualities CONTROL

    Quality Control ( QC ) may be defined as ‘a system that is used to keep a coveted degree of quality in a merchandise or service ‘ . It is a systematic control of assorted factors that affect the quality of the merchandise. Quality control aims at bar of defects at the beginning, relies on effectual provender back system and disciplinary action process.


    Materials direction is that facet of direction map which is chiefly concerned with the acquisition, control and usage of stuffs needed and flow of goods and services connected with the production procedure holding some preset aims in position. The chief aims of stuffs direction are:

    To understate stuff cost.

    To buy, have, conveyance and shop stuffs expeditiously and to cut down the related cost.

    To cut down costs through simplification, standardization, value analysis, import permutation, etc.


    In modern industry, equipment and machinery are a really of import portion of the entire productive attempt. Therefore, their idling or downtime becomes are really expensive. Hence, it is really of import that the works machinery should be decently maintained.

    The chief aims of care direction are:

    To accomplish minimal dislocation and to maintain the works in good on the job status at the lowest possible cost.

    To maintain the machines and other installations in such a status that permits them to be used at their optimum capacity without break

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