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Concept of Production Management
Production management means planning, organizing, directing and controlling of the production process. The concept of Production management refers to the basic applications of management, it means that during the time of production management the manager just needs to take care of basic applications of management.
The Production Management helps the company to increase the productivity of the company and it reduces wastages of resources during production. The Production Management transform raw material into finished goods.
Definitions of Production Management
According to Elwood Spencer Buffa
Production management deals with decision-making related to production processes so that the resulting goods or service is produced according to specification, in the amount and by the schedule demanded and at minimum cost.
According to E.L. Brech
Production Management is the process of effective planning and regulating the operations of that section of an enterprise which is responsible for the actual transformation of materials into finished products.”
Characteristics of Production Management
Achievement of Organizations Goals and Objectives
The Production Management helps the organizations to achieve the goals and objectives. When the manager takes care of production units and supervise it closely, then the numbers of wastages reduces and productions increases.Which ultimately helps the organizations to reach their goals.
It Increases Goodwill and Reputations
The Production management helps to increase goodwill and reputations of the company. Because when the company monitors its products or goods, the quality of the products increase and cost reduce. Which increase goodwill of the company in market.
Improvement in Profit
Production Management helps to increase profit of the company. It helps to minimise the cost of production and it tries to get maximum output at minimum input.
Helps to Boost Economy
Production Management ensures the optimum utilisation of resources. When all the companies of country utilise the resources in effective ways and supervise the process. It helps to increases economy of the country and will save the resources for the future generations.
Increase Motivational Level of the Employees
When the employees of the company supervise time to time. It helps employees to mativated because that time they communicates with their seniors and tell them problems what they are facing. It is possible just because of the management of the productions.