Production of goods and services
| English | Chinese | Pinyin |
|---|---|---|
| production | 生产 | shēng chǎn |
| inputs | 投入 | tóu rù |
| outputs | 产出 | chǎn chū |
| productivity | 生产率 | shēng chǎn lǜ |
| job production | 单件生产 | dān jiàn shēng chǎn |
| batch production | 批量生产 | pī liàng shēng chǎn |
| flow production | 流水线生产 | liú shuǐ xiàn shēng chǎn |
| lean production | 精益生产 | jīng yì shēng chǎn |
| waste | 浪费 | làng fèi |
| just-in-time | 准时制 | zhǔn shí zhì |
Making the product
- Turning raw materials into finished goods (or delivering a service) is production 生产 — the heart of operations.
- How a business produces affects its cost, quality and speed.
6 workers produce 300 units a day. What is productivity (units per worker)?
300 ÷ 6 = 50 units per worker.
Inputs 投入 to outputs 产出
- Production turns inputs (materials, labour, machines) into outputs (goods or services).
- Productivity 生产率 = output per worker — a key measure of efficiency.
The three methods of production
Methods of production
A business picks job, batch or flow production to suit its product and order size.
Making a single, unique product to order is:
Job production makes one bespoke item at a time.
Continuous mass production on an assembly line is:
Flow production runs continuously at low unit cost.
Methods of production
- Job production 单件生产: one unique item at a time (a wedding cake). High quality, high cost.
- Batch production 批量生产: groups of identical items in stages (loaves of bread).
- Flow production 流水线生产: continuous mass production on a line (bottled drinks). Low unit cost.
Worked example. 5 workers make 200 units a day → productivity = 200 ÷ 5 = 40 units per worker. A new machine lifts output to 300 with the same 5 workers → productivity rises to 60.
A car assembly line: making many identical products on a moving line
Just-in-time production aims to hold as little stock as possible.
JIT brings materials in only as needed, cutting storage costs.
Production that aims to cut all forms of waste is called ______ production.
Lean production minimises waste while keeping quality.
Lean production 精益生产
- Lean production cuts waste 浪费 of all kinds (time, materials, stock) while keeping quality.
- Just-in-time 准时制 (JIT) keeps almost no stock; materials arrive as needed.
You've got it
- production turns inputs into outputs; productivity = output per worker
- methods: job (one-off), batch (groups), flow (continuous mass)
- lean production cuts waste; JIT holds almost no stock