Everything tangible is manufactured or made for use or consumption, from hair clips to airplanes. The term manufacturing indicates the production of goods through labor by machine or hand, tools, and the help of different chemical or biological processes. Raw materials or different components of a larger product are used in the process. Once the product is ready, it is sold to wholesalers or retailers to be offered to consumers.
Understanding manufacturing
There would be homes should manufacturing become limited or nonexistent. The economy of any nation relies significantly on manufacturing companies. The more companies can produce, the more the economy will flourish—the impact of which can be measured by manufacturing value-added (MVA) indicators. Shoemakers, bakeries, automotive, tailors, clothing, food, and beverage industries are all manufacturing ventures. Companies can offer comprehensive manufacturing services, from assembling to packaging products and delivering products after quality checks. For instance, a personal computer is built from different parts already manufactured, like motherboard, SMPS, mouse, keyboard, graphics card, UPS, and more.
Types of manufacturing units
Even though manufacturing seems to be an easy process—procuring raw materials and turning them into finished products for sale, the manufacturer must consider the cost of making the product, the demand in the market, and making a good product to meet consumers’ needs. Sometimes, companies set up different types of manufacturing units depending on the demand they have to meet:
Make-to-stock (MTS): In this manufacturing type, companies produce and stock products at stores and showrooms. Here, they can offer readymade products fast and retain customers aggressively. However, the manufacturer should assess the market and predict the demand accurately.
Make-to-order (MTO): Here, manufacturing companies start making products only when they receive an order. Through MTO, the company can make products according to demand and manage the warehouses and inventories. However, the customer might have to expect a waiting period to get the products, and the company is burdened with keeping a steady flow of orders.
Make-to-assemble (MTA): In this MTA operation, the units have a head start by starting the manufacturing process. In this way, the companies can offer quick service to their customers by assembling the previously manufactured parts. However, the company might risk getting stuck with the inventory if the demand falls.
Types of processes
Manufacturing can be categorized into production methods. Each method results in a unique end product for sale.
Process manufacturing: This can be carried out in two ways: First, batch process manufacturing follows a specific formula and method to manufacture a set of products. This process is most often used in the food and beverage industry. In the second type, the manufacturing process is continuous, with the operations running for a long period. Continuous process manufacturing is extensively used in the gas, oil, or coal industry.
Discrete manufacturing: Every product can be identified in a discrete manufacturing system based on the raw materials used. Companies establish different manufacturing units that handle specific operations in production. Every unit consists of specific machines and qualified workers to manage and record the material usage.
Mixed mode manufacturing: As the name suggests, this manufacturing operation consists of discrete and process manufacturing. Some products require special attention for manufacturing, with a batch process followed in the initial stages followed by discrete operation.
Repetitive manufacturing: This process makes production easier by breaking up the long and tiresome manufacturing operation. Every part of the product is then manufactured at a specific unit or cell.
Jobs
The manufacturing sector consists of jobs at factories, plants, or mills and even in offices when considering management. Sometimes, manufacturing can be carried out at home when products are produced on a small scale. Modern-day manufacturing is experiencing rapid growth due to the introduction of new technologies like artificial intelligence, advanced robotics, advanced analytics, augmented reality, and much more. As a result, every industry is growing exponentially. So, one can find manufacturing job roles like an engineer, operations manager, technician, supervisor, manufacturing associate, electrician, and human resource personnel, among other job profiles. Depending on the experience and skills, one can find a variety of roles in the sector.
