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Have you ever heard the old adage 'one step at a time'? Well, that's exactly what flow production is all about. It is one of the most common and efficient production management techniques used by companies. Let's discuss what flow production is and how it works.
Flow production, also known as mass production, is an important method for organising production of a given product.
Flow production is used for producing a large number of identical products.
Unlike job production and Just-In-Time production, which only produce the items once an order is made, flow production is adopted for mass-market products such as cars, doughnuts, chocolate bars, soft drinks, and electric goods. These products can be produced all year round since there is an ongoing demand for them.
Flow production is so named because the production of goods follows a continuous flow - from one step to the next.
Most big brands use flow production to quickly produce a large number of similar products whose demand is continuous and ongoing.
For example, clothing is a mass-market product with continuous demand from customers. Fashion retailers around the world such as H&M and Zara apply flow production to produce clothes in large quantities and keep up with demand.
The ‘flow’ in flow production means that items will move continuously during the production process. One task is quickly followed by the next. As a result, the amount of time to finish each task is often the same.
In a factory, there are machines in close proximity that process an item from one stage to the next. This is also referred to as an assembly line, or a series of workers or machines that manufacture a succession of similar goods.
The assembly line of a chocolate manufacturer consists of a mixer, a refiner, a concher, a melter, moulds, and a packing machine (see Figure 1). After being processed by each machine, a chocolate bar is ready for distribution and consumption.
Figure 1. Chocolate assembly line, StudySmarter
Flow production comes with many benefits, including:
Short lead-time: Lead time is the time between the start of a process and its completion. Flow production reduces the lead time, as items move along a continuous flow of automated machines. A short lead-time means that the product can be delivered more quickly, which improves customer satisfaction.
Low inventory: With a shorter lead time, businesses can hold less inventory, which reduces inventory costs. There is also more space for production or storing finished goods.
Economies of scale: Economies of scale is the phenomenon where the cost per unit decreases as a company grows in size. Companies with flow production tend to enjoy economies of scale since a large number of goods are produced.
Structured material flow: Goods are supposed to move from one stage to the other along an assembly line.
Short transportation distances: Machines are placed close to each other, so there is less risk of breakage or damage when moving different components around.
Low labour skills needed: Since the flow production is mostly automated, businesses don't need to hire high-skill labour to operate the system.
Cheaper ordering costs: Producing mass products requires companies to order a large number of goods at a time. As a result, they can benefit from bulk purchase discounts.
Flow production is not without its disadvantages. Here are some minus points for adopting flow production:
Special machines - Machines in flow production are expensive and perform only one function. Thus, it is difficult to replace them if something breaks down.
High set-up costs - There's a high cost for setting up special machines or installing a new production program.
The danger of stoppage - If one station breaks down, the whole assembly line will stop as well.
High maintenance costs - Big, bulky machines require regular maintenance.
Repetitive work - Factory workers may feel demotivated doing the same work every day.
ADVANTAGES OF FLOW PRODUCTION | DISADVANTAGES OF FLOW PRODUCTION |
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Advantages and disadvantages of flow production
Zara is one of the world's largest clothing retailers. Its apparel and accessories are mainly produced by factory workers in developing economies.
Zara's factories are linked to underground tunnels with high-speed monorails where the fabric is cut, sorted, then assembled into clothing items. The finished products are then shipped to stores for distribution (see Figure 3).
The flow production process at Zara is highly successful, as the brand is able to launch a new design every two weeks. In fact, Zara is often viewed as a supply chain icon in the clothes retailing industry.
The advantage of flow production:
Flow production allows Zara to produce its products quickly at a very low cost. This also reduces the price and makes Zara's clothing items more competitive in the market.
The disadvantage of flow production:
To achieve a large volume of clothes at the least cost possible, Zara's workers are forced to work very long hours in an unsafe environment for a very low wage. Due to mass production, Zara's clothes only have average quality. Not many of them can last for a long time.
Flow production is an effective production method that helps companies save time, money, and effort in producing a high volume of goods. However, it also incurs a lot of cost in the initial stage and requires regular maintenance.
Flow production is a method for producing a large number of identical products. During the production process, the product moves continuously from one stage to the next along an assembly line. Some examples include the production of cars, chocolate bars, electronic goods, etc.
The advantages of flow production include:
Short lead time
Low inventory
Economies of scale
Structured material flow
Short transportation distances
Low labour skills needed
Cheaper ordering costs
The disadvantages of flow production are:
Special machines
High set-up costs
The danger of stoppage
High maintenance costs
Repetitive work
Flow production is often used by large brands to produce goods in large quantities at a low price. Items move continuously during the production process and each stage takes roughly the same amount of time. Flow production also uses an assembly line which is a series of workers and machines to produce successive goods.
Flow production is most useful for producing mass-market products such as chocolate, soft drink, cars, digital devices, fast fashion clothes, etc.
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