ZIMSEC O Level Business Studies Notes: Production: Introduction
- Production refers to the process and methods by which inputs i.e. raw materials or semi-finished goods are combined with other factors of production are turned into finished products or semi-finished goods products
- During the production process the factors of production are combined to make a finished product that can be marketed in exchange for financial gains which will allow the business to achieve its objectives
- Some of the basic functions of the production department include:
- New product development together with the marketing department
- Ensuring product quality is achieved and maintained
- Creating models of the business’s products
- Providing after sales service for sold products e.g. a plane maker or computer makers provides a warranty that obligates them to provide repair and maintenance services for a certain period
- Planning the manufacturing process including factory layout
- Choosing a suitable production method and implementing it
- Capacity planning
- Factory layout planning
- Stock control
- There are three major production methods that a business can choose from:
- Each has it’s advantages and disadvantages
To access more topics go to theĀ O Level Business Notes