Five Types of Planning in Production

The following section defines five types of production and planning methods:

1) Job-Based Planning

Job-Based or Project-Based production focuses on manufacturing a single product and is

either handled by a single worker or by a group of people. The type of jobs that fall under
this type of production planning can be on a small scale, such as creating a customized
piece of jewelry. Larger, more complex production projects, such as building customized
houses, also fall into this category.

Production planning for small-scale jobs that require very little specialized equipment is
relatively easy to execute. This allows products to be made according to their customer’s
requests and can usually be included at any time during the production process without
altering its progress.

2) Batch Method

Batch production is used when items are produced in groups, rather than individually or
through continuous production. For example, cookies are produced in batches which
means that each production step occurs at the same time on the batch of cookies. You
will start by measuring the ingredients for the entire batch, then mix them together, and
finally bake them together so that the entire production process for the batch of cookies
starts and ends at the same time.

The challenge that can occur when using Batch Production planning is accounting for the
constraints at each operation step to ensure that you maximize your resource capacity
without going over the maximum limit allowed. For example, if your dough mixer can fit
a batch of 100 cookies, but you can only bake 300 at a time, you may encounter
bottlenecks in production.
3) Flow Method

Flow manufacturing is a demand-driven method that is characterized by the continuous

flow of units through the production line. This technique is commonly used in the
production of televisions and household appliances where the product is manufactured by
a number of collective operations in which materials move from one stage to another
without time lags or interruptions.

The benefits of the flow method of production are that manufacturers can minimize the
number of work-in-process and finished goods items they hold in inventory, reduce costs,
and reduce manufacturing lead times. 

4) Mass Production Method

Mass Production is very similar to Flow Production. This technique is highly beneficial
when producing a large number of the same items in a short period of time.

This type of production is usually automated, which reduces the costs of labor required
for production. Some manufacturing facilities have assembly lines dedicated to a specific
type of item which reduces the changeover time required and increases the overall
production output. This allows manufacturers to increase their profits as the cost of
production is greatly reduced.

With this method, operations are scheduled based on the available resource capacity and
the production time required at each operation.

5) Process Manufacturing Method

Process Production is a type of continuous process similar to Mass Production and Flow
Production but is characterized by the continuous flow of materials through the
production line. Usually, the finished goods produced in this type of production are not
counted as discrete units. For example, the production and processing of liquids, gases, or
chemicals where the product is being produced in a uniform and standardized sequence.
The Process Method uses specific and sophisticated machinery to process materials at
each operation step. There is little room for error in this type of manufacturing as
changing from one item type to another will require a long changeover period. It is also
common to have by-products or waste that result from this type of manufacturing.