Production is one of the important processes contained in economic activity. In this process, there are production stages before it is finally marketed.
Without the stages in the production process, it is certain that we as consumers cannot enjoy or use a product. Because from that stage, it can continue at the distribution stage to consumption by consumers.
For more details, we will discuss more deeply about the meaning of the stages of production, their goals and also the production process in general.
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Meaning and Examples of Stages of Production
Before discussing the stages, we first understand about the production itself. Production is an activity that aims to produce goods and services. Where this production also functions to add or increase the use value of a product.
While for the production stage, it is a combination of various factors of production. Where these stages are carried out in order to produce goods or services that are beneficial to consumers.
Simply put, these stages are the processing of raw materials and supporting materials to become more valuable products, with the help of various equipment.
As an example of the stages of production, you can listen to the following mass production process.
1. PRD (Product Requirements Documentation)
A product requirements document created by the product manager and approved by other team leaders such as marketing, sales, QA and others.
Generally this document deals with the following points:
- List of all features included in the product
- Performance specifications that must be met by all features included in the product
- Estimated output/production volume
- Budget costs to be able to achieve the target
- Product release time plan
- Area mapping for product distribution
You can study the budget for production in manufacturing through Manufacturing Industry Bookkeeping with Journal Software in a complete, efficient and effective way with accounting software.
2. Technical Test and Validation
At this stage, the EVT team is responsible for implementing the various features included in the product.
The goal is to identify risks and minimize or even eliminate any risks that exist in a product.
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3. Test Design and Validation
In this third stage, the DVT division is in charge of producing the final appearance of the product before it is marketed.
All matters relating to aesthetics as well as product conformity refer to the PRD which has been previously approved by all team leaders in each division.
The components and materials used in this stage are all used in the final product version or ready-to-sell finished goods.
4. Production Test and Validation
Next, is the pre-production or PVP stage. At this stage you ensure that the product can be produced within the budget and target volume according to the PRD.
In addition, you will also try to find a solution for the worst-case scenario regarding the production process. Such as design changes or major repairs.
This is considered a trial run before production actually kicks off.
Its function is to avoid stopping production in the middle of the road due to problems.
In essence, at this stage you ensure that production can continue even in the worst case scenario.
5. Production Process
The last stage is the process of the mass production stage itself. Most of the responsibility already lies with the manufacturer.
However, you are also still obliged to monitor product quality and also achieve target volume output without any budget or cost overruns.
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5 Process Flow of Production Stages
In general, there are 4 stages in the process of production stages. Where these stages include, namely:
1. Planning/Planning
In this first phase or stage, you must make a plan regarding production volume targets, product design, production costs or the required budget, as well as raw materials.
In addition, the number of workers needed to achieve the production target is also included in this stage which can be managed with HR software .
A plan can be made carefully, only when you have detailed information regarding market tastes, consumer needs and wants.
Do not forget to also analyze production capacity in a certain period, so that production targets can be projected that can be realized.
2. Routing/Directing Flow
In this second stage, you will direct the flow of the production process starting from raw materials, shaping, polishing, finishing, quality control , to distribution.
3. Scheduling / Scheduling
Determining the schedule is a step that must be done after you direct the production flow.
That is because, scheduling will greatly affect the working hours of the workforce, as well as taking into account production capacity.
For the first step, you must create a main schedule that contains the total time needed.
After that, it was distributed to various existing divisions with a schedule adjusted to the main schedule.
4. Dispatching/Instructions to Start Production
The fourth or final stage is an order or instruction to immediately start the production process.
Instructions to start production are carried out to implement plans, flows, and schedules in the production process.
That way production results can be produced according to the time and amount targeted in the application of the stock of goods used.
When you have done these four stages, it will be easier to meet consumer demand and sustain economic activity.
5. Evaluation
This stage is the final stage of the production process. This stage is to measure the production evaluation that occurs in the field with the planning made beforehand.
This evaluation can help for the next production process so that the implementation is in accordance with the plan.
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Purpose of Production Stages
Production Stages are carried out for several purposes. These objectives include:
- As a step in producing goods or services
- As a step to be able to maintain business continuity on various scales
- Increase the value of goods and services that become the result of production
- Generate profits according to the budget in order to achieve the expected welfare
- Produce products that are able to meet market demand. Both at the domestic and foreign level
- Making production results to replace products that have been damaged or expired, as well as replace goods that have been used up
From the objectives stated above, we can conclude that the stages in production are the key to successful production.
Success both in terms of the number of products produced, the time required as well as the costs incurred.
When all the points above can be fulfilled, then business goals or targets will be easier to realize.
Indicators of Success in Production Stages
To be able to determine the success or failure of the stages of production that you are doing, it is enough to pay attention to the following indicators.
The ability of each person, especially those who become leaders, to be able to adjust to the work in their field
Increased productivity both in terms of the quantity of production and quality.
Increasing product sales can also be done by measuring the inventory turnover ratio.
The opportunity to profit from production is much greater, as well as the profit value that can be obtained
Satisfaction with work results. Both leaders who get good production results and employee performance, as well as employees who get rewarded accordingly
If one or two of the indicators mentioned above are not achieved, then it’s time to evaluate the stages of production that you applied.
For this reason, why before determining the stages would be better if you already have a plan.