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Sales in an organization are responsible for increasing sales and revenue. They offer product variety to
consumers. Production departments on the other hand would prefer to produce as few products as
possible and make long runs so that they reduce the number of setups.
The conflicting factors to be considered in establishing the range of products to supply are:
A narrow product line may lead to loss of customers
A wide product line which may lead to customer satisfaction but increased operating costs due
to lack of specialization.
The need for a balance between sales and economics of production is therefore essential. This balance
can be obtained with:
o Product simplification
o Product standardization
o Product specialization
Simplification
This is the process of making something easier to make. It seeks to cut out wastages and needless
product varieties, sizes, and types, hence minimizing product variations. Product design simplication also
reduces operations and material costs. Example is the use of snap on caps instead of using screws.
Standardization
In product design, the establishment of a standard for specifications covering the product’s material,
configuration, measurements allows for all products to be made to a given specification and hence will
be alike allowing for interchangeability.
Specialization
This is the concentration of effort in a particular area or occupation. In product specialization, a
company may produce and market only one, or a limited range of similar products which leads to labour
specialization.
With a limited range of products, productivity can be increased and costs be reduced by:
Allowing for the development of machinery and equipment specially designed to make the
limited range of products quickly and cheaply.
Reducing the number of setups because of fewer task changes.
Allowing labour to develop speed and dexterity because of fewer task changes.
Depending on the product design, volume, and available equipment, the process engineer must design
the system to make the product.
Flow
Intermittent
The system use will depend on ted emend for the item, range of products and the ease or difficulty of
moving material.