Production Strategy

 

Within a production strategy , product design, system design and plant location are the three large sets of elements that will be responsible for making the appropriate decisions.

Product design

The design of the product (s) to be produced and sold is something that affects, in addition to the production subsystem, the marketing and research and development subsystems. The production subsystem is responsible for the study of the technical process necessary for the development of a new product, the study of what are the materials necessary for such a product and, finally, what would be the total cost of production.

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System design

The design of the production system is perhaps one of the aspects of the production subsystem in which the greatest and most important innovations have been experienced. In such a design the main points are:

·        Establishment of the productive capacity of the plant or plants, which is logically related to the size of the plants.

·        The selection of the production process, within which you can choose from sorting by process (job-shop) to sorting by product (assembly line or line), through mixed conceptions.

·        Programming and control of production, in which systems such as just-in-time, flexible systems, or those in which the support of computer systems is basic, is one of the points of greatest progress.

·        An important aspect is that of the service infrastructure within which the maintenance of facilities and equipment (either internal or contracted), transportation, and quality control are essential aspects.

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