Manufacturing is the process of transforming the
raw materials into finished tangible goods while Production is the
process of transforming the raw materials into both tangible and intangible
goods.
Production management:
Production management is the application of
management principles to the production function which involves the application of planning,
organizing, directing and controlling to the production process.
Production management is concerned with the decision-making regarding the selection of raw
materials, conversion process and production of goods and services at minimum
cost according to the demands of customers through the management process of
planning, organizing, directing and controlling.
The difference between Operations Management and production
management:
Operations Management is the study of a set of activities
comprising supervision, planning, and designing of business operations in the
field of manufacturing of goods and services is termed operations management.
Production management on
the other hand focuses specifically on the production of goods and services and
is concentrated upon churning output from input. It is a broad sum of
activities that go into turning raw material into a final, finished product.
While operations
management is focused upon administration, planning and execution of operations
involved in the production of goods and services and trying to minimize the
resources at the same time increasing output, production management is more concerned
with input/output and churning out products in the shape of the desired finished
product.
Productivity
Productivity is the relationship between the outputs
(quantity produced) and inputs (the quantity of resources used in the course of
production). Productivity is the ratio between the output of goods and services
and the input of resources consumed in the process of production.” Output means
the quantity of products produced and the inputs are the various resources that
are used in the production such as land, building, equipment, machinery,
materials, labour etc.
Productivity means an economic measure of output per unit of
input. Output refers to the total production in terms of units or in terms of
revenues while input refers to all the factors of production used like capital,
labour, equipment, etc.
The formula of Productivity:
No comments:
Post a Comment