DID YOU KNOW:BATCH PRODUCTION

DID YOU KNOW:

• Characteristics:
  Shorter production runs
  Flexible plant & machinery
  Plant & machinery  set up is used for the production of item in a batch and change of set up is required for processing the next batch
  Manufacturing lead time & cost are lower as compared to job order productio

• Advantages:

        Better utilization of plant & machinery

        Promotes functional specialization

        Cost per unit is lower

        Lower investment in plant & machinery

        Flexibility to accommodate & process number of products

        Job satisfaction exists for operators

• Limitations:

Complex material handling

Complex production planning & control

Work in process (WIP) inventory is high

High set up cost