Involves producing a single item to fit in with the specific needs of a customer. A single product is manufactured in its entirety before the firm goes on to produce another.
- A large increase in added value
- Increased staff motivation
- A high level of quality
- Increased customer satisfaction
- Time-consuming production
- Higher production costs
- poor use of capital resources
- Customers may have to wait
- A large increase in added value. The specialist nature and individuality means that customers are prepared to pay high prices.
- Increased staff motivation. workers are oftern higly skilled and take great pride.
- A high level of quality. the specification of the work is often set at a high level.
- Increased customer satisfaction. Likely to encourage brand loyalty.
- Time-consuming production. Tends to slow down level of output
- Higher production costs. Job is highly labour-intensive.
- poor use of capital resources. is unlikly to use machinery the same way as other methods.
- Customers may have to wait. Encourage some customers to look elsewhere.
A whole group of items is produced together. These items move around the production process as a group, all must complete the process before moving on to the next stage.
- Faster that job production
- Lower costs that job production
- Greater ability to meet customer demand
- Lower motivation
- Increased 'downturn'
- Higher stock levels
- Loss of individuality and quality
- Faster that job production. Alows firms to produce more quickly as producing goods in larger quantities
- Lower costs than job production. Can benefit frm economies of scale and is likely to reduce overall costs
- Greater ability to meet customer demand. Customers less likly to wait. linked with just-in-time.
- Lower motivation. Greater specialsation inthe prouction process may lead to lower morale.
- Increased 'downturn'. a lot of stop-start is involved, due to constent changes.
- Higher stock levels. stock needs to be held on site.
- Loss of individuality and quality. requires a number of products to be produced to the same specification.
Goods move through production in a continuous way. Used by firms that produce a high proportion of standardised products.
- Low Unit costs
- High level of standardisation
- Increased levels of output
- Inflexible production
- Lack of worker motivation
- Problems of breakdowns
- High initial costs
- Less worker responsibility
- Low Unit costs. labour cots will be relatively low. The process is likely yo be highly capital-intensive.
- High level of standardisation. works well when multiple versions of the same product are produced.
- Increased levels of output. High volume production pulse a high volume of sales is key to mass market success.
- Inflexible production. Not efficient when stopped and started again.
- Lack of worker motivation. Can become demotivatied as are given few different tasks.
- Problems of breakdowns. Could cause problems on the production line
- High initial costs. It can be difficult to justify making such a large investment in the capital equipment.
- Less worker responsibility. The quality of finished goods may be lower.