understanding Production Management

Production Management

All organizations are keenly concern about the profitability and the performance of their business. The production activities are the major factor to determine both. Almost every organization carried out the production activities, and the organizations strive their level best to minimize the cost of operations to achieve the optimum efficiency rate. Good and continuous supervision of all production operations is a must to achieve the organizational goals, and these management and supervision activities are referred to as production management.

Let's understand

●        What's the idea Behind Production Management

●        Main Activities in Production management

●        Major Jobs being a Production Manager

●       Impacts of Production Management

 

What’s the idea behind Production Management

Production Management is the decision-making related to the production activities of an organization so that the goods and /or services are produced by the required specifications and with optimum usage of resources. This decision-making involves planning, organizing, directing, and controlling the production process. It is the application of management activities in the production process. The production management aims to have a maximum output of required quality with optimum usage of input resources.

According to E.L. Brech

“Production Management is the process of effective planning and regulating the operations of that section of an enterprise which is responsible for the actual transformation of materials into finished products”

 

Main Activities in Production Management

Production is a process of transformation of inputs or raw materials into outputs or finished goods, so it deals with three major things as Input resources, Production or transformation Process, and Supervision of the transformation process.

A: Arrangement of Input Resources

Everything your organization needs to produce its goods is an input resource. It includes selection and acquisition of venue for the production, procurement, and installation of equipment, making possible the availability of raw materials, and hiring skilled manpower.

B: Determine the Production Process

In the determination of the production process, you have to answer the question of “How the inputs will convert into outputs?” it includes the selection of production process best fit with your customer demand as well as your organizational goals. Whether you need mass productions or more customize productions. Secondly, you have to decide the time you require for the production of each unit. It also refers to the time of the production process. The third important thing is to define the assembly process, how the basic inputs are broken down into one or more outputs combined with the efficient usage of your human resources.

C: Supervision and Control for efficient Production

Supervision is intentionally regular focusing on all the phases of the production process and checking the follow of finished goods. The task of this activity is to ensure and maintain the already set standards of the production process regarding the quality of the goods, quantity of the goods produced, and the time taken to produce the goods. It also includes the maintenance of plants and the safety of the workforce.

Major Jobs being a Production Manager

The scope of production management is the application of the management principles as planning, implementing, directing, and controlling to the production process. The aim is to convert raw inputs into finished goods without the wastage of any resources.

Facilities emplacement

Production involved raw materials, plants, and manpower. Choosing the right location for the production unit is a far-sighted decision for any business. The production plant should be a place where raw materials and labor are easily available and the finished goods can be easily delivered to the market.

Layout Plan

It involves the physical placements for buildings and machinery. You need to decide the layout Plan for your production unit. The building includes raw materials storage, offices, and sometimes residents for working staff, machinery or plants, packaging units, and inventory of finished goods. The task is to ensure efficient productivity by saving cost and time.

Process Designing

It involves the decisions related to how the transformation of raw materials into finished goods is being done. What type of methods will you adopt? What is the latest technology to perform these functions? How many phases or sequences you need in your production process.

Recruiting of workforce

It is very important duty of production manager to hire the relevant and expert workforce to execute the production. Most expertise workforce will reduce the cost of production process and the maintenance. 

Material Handling

It refers to the management of material, storage, and movements of materials and finishes goods. Your prime focus is to check the storage capacities for raw materials and finished goods inventory. You also ensure the safe movement of raw materials to plants, and finished goods from plant to packaging section, inventory stores, and finally to the market.

Planning and Controlling

It involves the target settings regarding production. When each phase of the production process will starts and ends. What would be the optimum time to transform the raw materials into finish goods?

Deciding what would be the route of each production process and monitoring this route to ensure the quality and quantity of goods produced according to the orders.

Maintenance

Maintenance is not only dealing with machinery or plants, it also involves maintaining all the activities required in the production process. It involved the Setting of schedules for regular checkup of machinery or plants. You need to take care of all mechanical repairs in time. Take all necessary steps to correct any deviation you find in predetermined cost and time schedules.

Quality Control

Quality Control in Production Management is ensuring the quality standards of the goods produced. To ensure these already set standards, you need to set checkpoints at different phases of the production. These checkpoints enable you to measure the quality of production and performance efficiency of all the production phases.

 

Impacts of Production Management

Achievement of Organizations Goals and Objectives

Good Production Management always helps you to achieve the organization's goals. You can charge a good price for your products because of their comparatively good quality. On the other hand, production management enables you to reduce the cost of goods produced.

Motivated Workforce

When the higher management focuses on production management they have regular interaction with their workforce. It increases the time to time communication of the workforce with their seniors for the problems they face in production. It will increase the motivational level of the workforce.

Profit Maximizing

Regular Supervision of Plants and the production process will reduce the maintenance cost and overhead expenses. And good production management leads to get maximum output units with minimum inputs. Ultimately the cost of production is reduced and has a good impact on maximizing the profit.

The reputation of the organization

Production management helps organizations to focus on the quality of each unit produced. It also enables the workforce to produce the output units in time as per order specifications. Good quality and on-time order completion has a remarkable impact on the reputation of the organizations.

Help to face market competition

Production management is a powerful tool for an organization to face competition in the market. It not only improves the quality of the products but also ensures on-time delivery. With good quality and service, a business can have a competitive edge against its competitors.

Research & Development (Innovation)

The production manager tries to reduce the defects in the finish goods produced. They focus on the designing of plants as well as the product itself. It facilitates in to provide the organizations a way to research and develop more quality products. This will leads an organization to innovations, the future of the business.

Improve overall economy

As we discussed that the production management ensures the optimum utilization of input resources. When all the organizations produce more output with fewer inputs, then ultimately it will have a very positive impact on the overall economy.

 

Conclusion

Production management is the implementation of management activities in the production process. It mainly deals with the arrangements of input resources, the process of transformation of input into finish goods, and the supervision of the transformation process. Production management not only enables the organizations to perform better in their business but also contributes to the innovation of new products for society and boosts the overall country’s economy.