Types of Production

We can broadly categorise the industrial manufacturing activity (for only mechanical engineering industries i.e. making discrete components) into:

1. Mass production - Large Lots, for example Automobiles

In this, the volume of production is extremely high, ranging from a few thousand to millions per annum. The extremely high volume justifies the use of special purpose machines and transfer lines to decrease the cost of production substantially. Also, these ensure that a very high degree of accuracy can be achieved with these systems. However, these manufacturing methods, once designed and fabricated, are very inflexible and can only be used for a single product. Further, the lead time taken from the product design stage to the setting up of the manufacturing facility is very large, varying with the product. Examples in this category are the automobiles, typewriters, etc.

2. Batch Production - Medium Lot Sizes, e.g. Industrial Machines, Aircrafts, etc.

Batch production refers to the making of jobs in medium lots, say 100 to 1000, for a component type. Thus, transfer lines may not be used in their production, but special purpose machines which can be easily modified by the use of jigs and fixtures for such jobs can be utilised.

3. Job Shop Production - Small Lots or One off, e.g. Prototypes, Fighter Planes, etc.

Job shop production refers to the manufacture of extremely small lots, frequently of single jobs. This may be required in special situations for the reason of proving a design, creating prototypes, in tool making, or for special reason applications. In view of the extremely small lot, no special purpose machines or tooling can be economically justified. Hence, the manufacture has to be carried on with the general purpose machines and tooling, which is a very lengthy and often error- prone process.