| John Spacey, August 29, 2015 updated on January 06, 2018
Production management is the direction and control of processes that produce products and services. The term is associated with manufacturing but can apply to other areas such as the management of a technology service. The following are common elements of production management.
Production SchedulingForecasting, planning and scheduling production processes.The numerical analysis of business processes. For example, a report designed to detect bottlenecks in a production line.
Production BudgetPlanning and controlling the financial resources consumed by production processes.
Management of inventory including inputs and outputs.The process of detecting and correcting mistakes.The end-to-end process of managing quality from materials to the customer. For example, a process that improves the design of a product that customers perceive as poor quality.
Eliminating waste to improve the efficiency of processes. In many cases, production processes are highly optimized to reduce wasted labor, capital, materials, energy and time.Putting systems and machines in place to improve efficiency, quality or to meet other objectives such as safety.
LaborSupervision of staff, labor relations, performance management and workplace health and safety.
Compliance to laws, regulations and standards.Processes to reduce damage to the environment.Developing production processes for new products and services.Working with marketing teams to forecast demand and schedule production.
The process of order management and logistics to deliver products and services to customers.
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