What is a production what are the components of the production?

This article briefly explains the introductory concept of a production system.

Image Credits © Nathan

The meaning, definition and other basic points covered in this article on a production system are listed as follows:

1. Meaning of production.
2. Meaning of system.
3. Definition of production system.
4. Meaning of production system.
5. Components.
6. Examples.
7. Conclusion.

Now let's read each point to understand the basics of a production system.

1. Meaning of production

Production can be explained as an act of either manufacturing or mining or growing of goods (commodities) generally in bulk for trade.

Production is a method employed for making or providing essential goods and services for consumers. It is a process that puts intangible inputs like ideas, creativity, research, knowledge, wisdom, etc. in use or action. It is a way that transforms (convert) tangible inputs like raw-materials, semi-finished goods and unassembled goods into finished goods or commodities.

2. Meaning of system

System is an arrangement or assembly of inter-dependent processes (activities) that are based on some logic and function. It operates as a whole and is designed (build) with an intension to achieve (fulfill) some objective or do some work. Huge systems are often a collection (assembly) of smaller sub-systems.

3. Definition of production system

Production system may be defined as,

"The methods, procedure or arrangement which includes all functions required to accumulate (gather) the inputs, process or reprocess the inputs, and deliver the marketable output (goods)."

Production system utilizes materials, funds, infrastructure, and labour to produce the required output in form of goods.

4. Meaning of production system

Production system consists of three main components viz., Inputs, Conversion Process and Output.

1. Inputs include raw-materials, machines, man-hours, components or parts, drawing, instructions and other paper works.
2. Conversion process includes operations (actual production process). Operations may be either manual or mechanical or chemical. Operations convert inputs into output. Conversion process also includes supporting activities, which help the process of conversion. The supporting activities include; production planning and control, purchase of raw-materials, receipt, storage and issue of materials, inspection of parts and work-in-progress, testing of products, quality control, warehousing of finished products, etc.
3. Output includes finished products, finished goods (parts), and services.

The three components of a production system are depicted in this diagram.

Image credits © Moon Rodriguez.

Hence, we can say that, production system is a union or combination of its three main components viz., Inputs, Conversion Process, and Output. In short, everything which is done to produce goods and services or to achieve the production objective is called production system.

5. Examples

The examples of a production system are as follows:

1. Tangible goods : Consider an example of a manufacturing industry like a Sugar Industry. Here, sugarcane is first used as an input, then the juice of sugarcane is processed through a conversion process, finally to get an output known as a refined sugar (used for mass consumption).
2. Intangible goods : Consider an example from a service industry that of a software-development firm or company. Here, initially, written program codes are used as an inputs. These codes are then integrated in some database and are provided with a user-friendly interface through a conversion process. Finally, an output is made available in form of an executable application program.

6. Conclusion

Production system is a result of arranging inputs, their conversion process and output based on some logic and functions. Production system fails if any such arrangement made don't give a desired level of outcome.

Page 2

Marketing Research plays a significant role in helping Government to perform some of its crucial regulatory functions. It provides an up-to-date market-related data to the government and helps it to monitor, plan, coordinate and regulate the entire economy of its area of jurisdiction. The government studies information provided by MR and uses it to understand the market forces, formulating policies, fixing critical priorities, allocating resources, providing social welfare benefits, regulating a market, stabilising an economy, so on.

Importance of marketing research to government is as follows:

Image credits © Gaurav Akrani.

In context of this article, let's revise the meaning of following words:

1. Division of something (e.g. an object, a process, work, etc.) means to divide, chop or break it up into smaller parts to facilitate a better understanding, easier handling and operation, and focused observation on a fixed set of goals. It is a way to separate things apart based on some established criteria like quality, quantity, nature of work, so on. It untangles, simplifies, and narrows down various complexities that were involved prior separation. It helps to ease and enhance the efficiency of managing a giant complex task through smaller chunks that are easy to handle.
2. Work is any assigned job, task, duty, goal or an objective one is supposed to accomplish (achieve) before the deadline (on-time) and as expected at the expense of one's mental and physical labour to earn the desired reward (usually monetary but not always) in return.

With this understanding, let's grasp the meaning of division of work:

Image credits © Gaurav Akrani.

The twelve features, qualities, or principles of good layout are as follows:

Image Credits © Manoj Patil.

Law of Demand can operate and remain valid only if certain things like income, population size, climate, consumer's tastes and expectations, etc., are assumed to remain constant or equal. In other words, there is a need for an assumption or a consideration that these things do not change at all under any circumstances.

The six basic assumptions of law of demand are as follows:

Image Credits © Gaurav Akrani.

Twelve demerits, disadvantages or limitations of planning in management.

Image Credits © Manoj Patil.

1. Time Consuming

Planning involves the collection of data, analysis of data, forecasting, etc. All this consumes a lot of precious time. Therefore, planning is a time-consuming activity.

2. Costly

Planning is the work of experts. They get paid very high salaries to make good plans. Companies spend an enormous amount of money in collecting and analysing data. Therefore, planning is a costly affair.

Older Posts

© Kalyan City Life Blog