What Is Manufacturing

psithurismaccountantUrban and Civil

Nov 29, 2013 (3 years and 8 months ago)

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TMJ 4C
-

Manufacturing


Manufacturing Theory


What Is Manufacturing
?


Manufacturing is the process of changing raw or processed materials into
quality

products people can use in the most
efficient

way possible.


-

In today’s competitive global economy, the only way for businesses
to survive is to produce a top quality product cheaper than the
competition.


What is Quality?

All products are generated by customer need therefore

these products
must
satisfy that

custom
er need. Products

must meet certain requirements in order
to be called a quality product. Some aspects of quality may include:


-

Resistance to corrosion (stainless steel, aluminum, galvanization
treatment, paint etc.)

-

Weight (Aluminum vs. steel, plastics v
s. wood etc.)

-

Strength (Shear

strength
, compression

strength, ductility

etc.)

-

Surface finish

-

Aesthetics

-

Dimensional accuracy (i.e. is the product within desired tolerances)


What is Efficiency?

In order to stay competitive, a company always strives to
produce a product
as cheaply as possible but always maintain its quality. If a company is more
efficient, it can produce products more cheaply. Some aspects that effect
efficiency are:



-

Reduce cycle times (Companies who can produce more quality
products i
n a shorter time period or more efficient and can charge
lower prices to customers but still maintain the same return on
investment.)

-

Scrap minimization (less scrap = cheaper production cost)

-

Automation (reduce
-

labor costs, sick days, administrative cost
s,
injury claims
, human error

etc.)

-

Health and Safety ( a safe and healthy workplace minimizes
insurance premiums which
greatly
effect the cost of production)

-

Environmental Standards (Governments impose environmental
standards. Companies who do not meet
environmental standards
are required to pay large fines which effects the cost of production)