Job, batch, line and flow, and mass production
Describe and compare the features and applications of each method.


Type of Organization
Defining Features
Implications for Finance
Implications for Marketing
Implications for HRM
Implications for Productivity
Implications for Teamwork
Implications for Quality
Job
Production of special “one off” products made to a specific order
- Cost per unit would be high
- Generate an exclusive item that can be marketed for a very high price due to exclusivity and high quality
- Highly skilled workers à may be craft workers
- Require more training
- The production time is likely to be long à inefficient
- Workers can feel proud of the finished project, team spirit can also be a motivating factor
- High quality of production because highly skilled labor
Batch
Groups of a particular product made to order
- Lower average cost due to the benefits of economies of scale through bulk buying
- Products will be standardized
- More aggressive promotional strategies in order to win market share from competition
- Difference: each batch has its own individual characteristics
- Semi-skilled workers and they need to be flexible
- Highly dependent on the capacity of machinery
- As employees are working towards the same product, same goal, synergy may be developed à increasing efficiency
- Standardized quality for each product with slightly differing features
Mass Flow/Line
Standardized products made n large quantities, usually by assembly lines
- Set up costs will be high
- Once the system is set up, there will be little maintenance costs
- Products will be standardized
- More aggressive promotional strategies in order to win market share from competition
- Relies on high sales for profit
- Unskilled workers and need minimum training
- Production time will be efficient
- Lack of teamwork
- Repetitive individual jobs
- Could lead to de-motivation
- Standardized quality for all products