Basic Concepts of Production Management

Production management is one part of the management areas which have a role in coordinating the various activities to achieve the goal. To regulate this activity, decisions need to be made related to efforts to achieve the goal of keeping the goods and services produced in accordance with what was planned. Thus, production management involves decision-making related to the production process to achieve organizational goals at a company.

Aspects of production management include;

A.    Production planning

Intended that the execution of systematic preparation for production to be run. Decisions that must be faced in production planning:

1.      Type of goods manufactured

2.      The quality of the goods

3.      The amount of goods

4.      Raw materials

5.      Control of production

6.      Control of production

B.     Aims to achieve maximum results for the sake of cost optimal as possible. The activities include:

1.      Develop a planning

2.      Make work scheduling

3.      Determine to whom the goods will be marketed.

4.      Supervision of production

C.     Aiming for the implementation of activities can be going according to plan. Kegiatanya include:

1.      Set the quality

2.      Set the standard items

3.      Implementation of the production of timely

4.      Development of production management

The main factors that the management of production could go well is the division of labor or the division of labor. That is, a production manager must be able to divide tasks to the appropriate team member with expertise and advantages of each so that the production process can be carried out effectively and efficiently. Giving a task or job to someone who does not have the ability to inhibit the process that will culminate in the production management and increasing production costs.

The second factor which could make production management is growing rapidly is the industrial revolution. The purpose of the industrial revolution in this case is not a change of the main livelihood as farmers replaced by working in a factory. But the meaning in the context of production management is the process of replacing human labor with mechanical power that is now widely used in modern factories. In the production that uses the help of this machine, the production target can be more easily achieved and can improve the quality of human resources where workers will be encouraged to improve the quality of expertise is not just a worker.

The adverse effects of the industrial revolution are small companies or organizations that are still using old-fashioned methods and the use of human labor for much of the production process so it is not able to offset the amount or quantity of goods produced compared to organizations using the machine. 

The industrial revolution indication can be seen from the following:

  1. The use of machinery more
  2. Efficiency of production of coal as a fuel, and iron and steel as the primary material
  3. Development of growing infrastructure such as rail, transportation, communication networks, and reliable electricity supply
  4. Idespread banking and crediting system to reach the areas that need capital to develop production.

That is the definition of production management to the factors that influence its development. The better the decision-making with regard to production is issued, then the production can be in accordance with the target and meet the objectives of an organization. Factors to be considered in decision making as there are many budget given, expectations for customer satisfaction, the mechanism of production systems, even to the image of the organization as reflected in the results of the product.


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