Production is a line activity in any business organization. It is, as matter of fact, gateway to the road of progress, not only for a firm but to the nation and the whole world as a whole. The production management department of a manufacturing organization makes it possible outlining the latest techniques of production of a new product, improvement in the existing product line, catching up newer techniques, improving the quality of goods and controlling the costs of production. Good quality and reasonable price are the twin blades of one scissor making the growth and expansion of the business possible.
Importance Of Production Management to the business firm
An efficient production management ensures the following advantages
- Production of good quality products at a reasonable cost of production,
- Maintains optimum inventory level
- Betters and improves productivity of all inputs,
- Provides uninterrupted supply of goods and services
- Improves the profitability of the organization,
- Provides better customer services
- Stabilizes employment and removes poverty from masses.