Production Management means producing the demanded product at the desired time and cost by making the most appropriate use of the materials, human power, machinery and equipment resources in the existing system of an enterprise. In this file, we are looking for answers to questions such as what production management is, what benefits and objectives it has.

Production management software can be used to achieve profitability with cost and time savings by managing business resources efficiently and in a planned manner throughout the production process. What exactly production management is, its objectives, benefits, scope; in short, the important details of production management, which ensures that the quantity, timing, price and quality demands from the consumer are met at the highest level but in the most economical way for the business, are just below!

What is production management?

Production management is the development of the system that will enable the enterprise producing goods or services to produce the most functional, most economical and highest added value. It is very important for enterprises to work on production management in order to produce the desired amount of products / services in the desired quality and at the desired time by using the available resources such as machinery and manpower in the most economical way.

What are the objectives of production management?

"Which good/service? In what quantity? With what characteristics? Where and by whom?" This business function, which tries to find the answers to questions such as "Which good/service?" in a way that will provide the lowest cost or the highest profit, has many objectives. These objectives affect every area from design to product development, from resources to distribution, from marketing to sales.

One of the main objectives of production management is to meet consumer demands in the best possible way in terms of price, time, quantity and quality. Another objective is to keep the inventory level as low as possible or to increase its turnover. Thanks to production management, the degree of utilization of the company's resources such as manpower and machinery will also be effectively increased.

What are the benefits of production management?

Production management has many benefits for the business. One of them is reporting; that is, production management reports whether goods and resources are used in the most efficient way and provides opportunities for improvement in possible cases and ensures that the product/service is made efficient. Production management also has a positive impact on efficiency as it helps to use scarce resources in an effective and solution-oriented manner.

Production management, which enables the necessary analysis and planning to determine the production of goods/services in line with the consumer's wishes, also provides the benefit of determining how and in what way it would be correct to use the existing machines and equipment in the enterprise, their maintenance and costs. The production management program, which helps to plan the operation of important stages such as quality and stock control and ensures that both orders and stocks are carried out in a healthy order, becomes a must-have for a business thanks to these benefits.

What does production management involve?

So what does the production management of an enterprise include? First of all, product design and development. Then, production processes such as supply chain management, production planning, implementation and control, quality management, technology management, warehouse management are also included in the scope of production management.

Final product storage and preparation for the market, logistics management and after-sales service software processes, as well as the details of recycling-based, ethical and environmentally friendly production are also within the scope of production management.

As can be understood from all this information, the most prominent feature of production management in its relations with other departments is that it has a conciliatory and coordinating role without having direct authority. Therefore, people who will take part in production management should have knowledge and experience in subjects other than their own fields and should be able to establish good human relations.

What are production systems?

Let's start by answering the question "what is a system?". A system is a mechanism that has a specific input, process and output and is influenced by internal and external factors. Systems are interconnected or independent units designed to achieve a predetermined goal and organized according to a specific order or plan, or parts that form a complex whole. A system is a whole and a system consists of many subsystems. There is a complex structure between the subsystems that make up the system and these subsystems can change and affect each other depending on each other. It is impossible to know the exact boundaries of a system and these boundaries are in a constant state of flux in relation to the subsystems.

Among the factors affecting the choice of production system, there are many different details. These include the subject of activity, product variety, product structure, technology structure, labor force structure, changes in demand, changes in the market, changes in competitive conditions, competitors' positions, quantity, quality and cost.

Production systems are divided into traditional and modern. Traditional production systems operate according to production methods (synthetic or analytical, fabrication or assembly), product type (iron and steel, coal, electronics, wood, textiles, etc.), production quantity or flow (made-to-order, batch, continuous, mixed, project, etc.).

Modern production systems are as follows:

Computer-aided engineering

Computer-aided process planning

Material requirements planning (MRP)

Manufacturing resource planning (MRPII)

Enterprise resource planning (ERP)

Automated storage system

Automatic control and inspection system

Automated guided transport system

Robots, robot systems

Continuous development program

Total quality management

Total efficient maintenance

Step-by-step production management decisions

Cost management