Control Function in Production Management:

Production management is described as the management of an organization's production system that converts inputs into the organization's services and products. A production system takes inputs such like personnel, machines, raw materials, buildings, cash, information, technology and other resources and changed them into outputs, such like products and services. This procedure is the predominant step in the production management. In companies that produce goods, the production activities that make goods are usually quite oblivious. For example, we may watch the creation of a tangible product such as Sony television set or a Tata truck. While referring to such activity, we tend to utilize the term production management. This unit shall deal with the control functions associated to production management, , Economic order quantity, Inventory planning and security stock. The objectives of this unit are detailed as follows.

Objectives

After studying this unit, you must be able to understand

• control functions of production management and numerous decisions taken by designers,
• inventory control strategy followed by the firms,
• importance of economic order quantity,
• establishment of safety stock level, and
• ABC classification of materials.