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4.2 OPERATIONS PLANNING

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TEXTBOOK
CHAPTER 23
PART I
(4.2) OPERATIONS
PLANNING
WHAT IS OPERATIONS PLANNING?
MARKETING FACTORS
 need to match supply with potential demand
 Must only market or advertise the quantity
which could be produced by operations dept
AVAILABILITY OF RAW MATERIALS
 Land, labour, capital enterprise
OPERATIONS
DECISONS
 The business must base production
on the best location, nature of the
production method and the level of
automation
TECHNOLOGY
 Firms now use digital technology and
there two main forms i.e CAD and
CAM
COMPUTER-AIDED DESIGN (CAD)
COMPUTER-AIDED MANUFACTURING (CAM)
Processes in a CAM process are controlled by computers.
Thus a high degree of precision and consistency can be
achieved than a machine controlled by men
The need for flexibility and innovation
The need for flexibility and innovation
Production methods
Each firm must carry out production designing. Production design
refers to the scheduling of production which involves organizing the
activities in a manufacturing plant or service industry to ensure that
the product or service is completed at the expected time. There are
four basic ways of production design namely job, batch, flow
production and mass customization
JOB PRODUCTION
BATCH PRODUCTION
MASS CUSTOMISATION
FLOW PRODUCTION
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