Production Basics

Question

What are the main factors that influence production?

Answer 1

Main factors that influence production include:

• Production strategy: The chosen manufacturing principle affects how production is organized, such as make to stock, make to order, configure to order, or engineer to order.
• Product and process design: Bills of materials (BOMs), routes, defined inputs and outputs, and standard operating procedures shape how production is executed.
• Resources and capacity: Available people, machines, tools, certifications, capabilities, and capacity constraints directly affect scheduling and efficiency.
• Materials availability: Production depends on having raw materials available and moved to the production input location when needed.
• Scheduling and planning: Lead times, scheduling logic, job scheduling, Gantt-based sequencing, and order promise dates influence the flow of production.
• Costing and inventory valuation methods: Actual cost, standard cost, FIFO, LIFO, moving average, periodic weighted average, and backflush costing affect reporting requirements and production control.
• Operational execution data: Material consumption, operation time, output reporting, scrap, and status updates influence tracking and control of production.
• Quality and consistency controls: Standardized routes and attached work instructions help ensure product quality and consistent execution.
• Variances during production: Differences in lot size, prices, quantities, substitutions, BOM versions, route versions, and reported consumption can affect production outcomes and costs.
• Load and throughput conditions: In systems handling production workloads, available server resources, feature usage, message size, overall load, peak patterns, and monitoring or maintenance activity can affect sustainable performance.

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• Production process overview
• Production process overview
• Common sources of production variances
• Overview of the Plan to produce business process areas
• Overview of the Develop production strategies business process area within the Plan to produce end-to-end scenario
• Overview of the Run production operations business process area within the Plan to produce end-to-end scenario
• Factors that Affect Maximum Sustainable Performance