Business studies GCSE-Production methods advantages and disadvantages

Production methods, just-in-time and devision of labour explanations are advantages/disadvantage.

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  • Created by: michelle
  • Created on: 02-05-12 08:45


A single product e.g. building a house. One item is made before the next is startedSmall firms opperating a service would use jobbing method such as a plumber as each customer has different needs.

Workers are likely to be being paid on peice rate.


  • Each peice is made to the customers specific requirments
  • no risk of having too much stock
  • quality of the goods is very high
  • Job satisfaction for the workers is higher
  • The design is flexible and can changeDisadvantages:
  • Products are very expensive
  • work is very time consuming
  • The advantages of economy of scale are lost
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Batch production

making a batch of products at a time not just one product e.g. bread. Is used to meet group orders


  • Workers may specilise to some degree
  • labour costs are reduced the the final price is lower
  • machinery can be used
  • production is faster
  • begins to take advantages of economies of scale


  • Work is less satisfactory, it can be repetative
  • more space is required for work and storage
  • larger stock of raw materials must be kept
  • machines may have to be re set between batches which could lose time
  • if something goes wrong the whole batch is lost
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Products get made as they move along a conveyer belt e.g. car manufactoring. Identical and standersised products are produced on an assembly line


  • The final product is inexpensive. large quantities can be manufactured. The quality of the product is as standard
  • Machines are used so labour cots are reduced
  • unskilled wages so this also reduces costs. assembly lines can run continuously. production is fast. takes all the advantages of economies of scale


  • The work is repetative and boring. There is an increased risk of accidents
  • employee motivation are low. the products are all identical
  • large capital investment is required. larger buildings are usually needed
  • large stocks or raw materials are needed. if machinary breaks down it can halt production
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Just in time method

  • Products are manufactued just in time for them to be sold
  • This prevents large storage of stock
  • The raw materials that are needed are delivered to the manufactorer just in time to be used so there is no pile up of stcok


  • Capital is used very effectivly
  • warehousing is not needed for storage
  • If faults occur in the supplies the business doesnt have a large amount of faulty items
  • there is no waste of having exessive stock
  • the finished product should be cheaper for the customer to buy


  • The business is dependant on having an effective ordering system
  • Production could be haulted if the wrong or faulty products are delivered at the last minute
  • It puts alot of pressure upon the suppliers
  • The company and the suppliers must work closely together with good communication
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Division of labour

This would be used in flow manufactoring, each worker is given a small task to do with in the flow to get the end product, this would be used for example in a toy manufactoring assembly line.


  • Each worker is very practised in a certain task
  • lengthly training is avoided as they only need to be quickly trained for a small task
  • the work is fast so the cost per unit of production is reduced
  • reduced costs can be reflected in the price the customers get
  • lower prices will raise sales and profit
  • time is saved because workers do not have to move between jobs
  • tools and machinery are used economically because each worker will only need the tools which are required for a small function


  • The work can be monotomous and boring
  • Bored workers could result in accidents
  • its differecult for workers to have pride in their work as the don't see the finished product
  • delays or strikes in one sections can cause production to stop
  • workers can feel isolated from eachother
  • redundant empoyees would find it hard to get a job as they have been very narrowly trained.
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very useful

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