Unit-1

Introduction: Overview & Definition of Production and Operations Management- Nature and Scope of
Production and Operations Management – Role & responsibilities of the production manager - Types of
Manufacturing Processes and Product Design, CAD/CAM.

Overview of Production and Operations Management:

Production/operations management is the process, which combines and transforms various resources used in
the production/operations subsystem of the organization into value added product/services in a controlled
manner as per the policies of the organization.

Therefore, it is that part of an organization, which is concerned with the transformation of a range of inputs
into the required (products/services) having the requisite quality level.

Meaning of Production and Operations:

• PRODUCTION: Production implies the creation of goods and services to satisfy human needs.

• It involves conversion of inputs (resources) into outputs (products).

• It is a process by which, raw materials and other inputs are converted into finished products.

• Earlier the word "manufacturing" was used synonymously with the word "production", but
nowadays, we use the term "manufacturing" to refer to the process of producing only tangible goods
whereas the word "production" (or operation) is used to refer to the process of creating both goods
(which are tangibles) as well as services (which are intangibles).

• OPERATION: Operations are the purposeful activities- done methodically- as part of a work plan-
designed to achieve the pre-decided objectives

Definitions of Production Management:

• In the words of Mr. E.L. Brech:

• “Production and Operation Management is the process of effective planning and regulating the
operations of that section of an enterprise which is responsible for the actual transformation of
materials into finished products”.

• This definition limits the scope of operation and production management to those activities of an
enterprise which is associated with the transformation process of inputs into outputs.
 • The definition does not include the human factors involved in production process. It lays stress on
materialistic features only.

Definition of Operations Management:

Operations management is the administration of business practices to create the highest level of efficiency
possible within an organization.

It is concerned with converting materials and labour into goods and services as efficiently as possible to
maximize the profit of an organization

Operations Management – An Overview

• The activities carried out while creating the utilities discussed above are referred to as production
functions.

• Production Function

• Production function may be defined as the creation of useful products for sale with the help of inputs
such as materials, machines, labour, land, capital and management.

• The production function represents basically a physical relationship between inputs and outputs.

• It may be represented as Q = f(a, b, c, d...) where ‘Q’ is the quantity of output and a, b, c, d, etc.,
represent the quantities of various inputs such as material, machine hours, labour hours, energy, etc.,
 • The production function specifies the amount of outputs resulting from the amount of inputs used
during a specified period of time.

• The productive use of the resources is described by the term productivity.

• Productivity is an index that measures outputs (goods and services) relative to the inputs (materials,
energy and other resources).

• It is usually expressed as,

– Productivity = Output/ Input

Nature of Production and Operations Management:

• NATURE OF PRODUCTION/OPERATIONS

• The nature of production or operations can be better understood by viewing the manufacturing
function as :

• (i) Production/operations as a system,

• (ii) Production/operations as an organisational function,

• (iii) Production/operations as a conversion or transformation process and

 • (iv) Production/operations as a means of creating utility

Production/operations as a system:

Production/operations as an organisational function:

• To create goods and services, all organisations whether manufacturing goods or

providing services perform four basic functions. They are

• (i) Marketing function

• (ii) Production or Operations function.

• (iii) Finance function and

• (iv) Human Resources function.

• Production is considered as a crucial function which creates goods and services

whereas marketing function generates demand for products or obtains customers’
orders, finance function keeps track of how well the organisation performs and takes
care of all cash inflows and cash outflows, and human resources function looks into
the people aspect of the organisation and the best utilisation of people in the
organisation. Production function plays a central role in achieving the objectives of
any business organisation
Production/operations as a Conversion or Transformation Process:

• The conversion or transformation sub-system is the core of a production system

because it consists of processes or activities wherein workers, materials, machines and
equipment are used to convert inputs into outputs, i.e.,

• The conversion process may include manufacturing processes such as cutting, drilling,
machining, welding, painting, etc., and other processes such as packing, selling, etc.

• Any conversion process consists of several small activities referred to as "operations"

which are some steps in the overall process of producing a product or service that
leads to the final output.

Examples of Conversion/ Transformation Process:

Production/operations as a means of Creating Utility:

• Production is defined as the process of adding to the value of outputs or the process of creating utility
in outputs. "Utility" is the power of satisfying human needs.

• During the process of converting the raw materials into finished goods, various types of utilities are
created while adding value to the outputs. These types of utilities are :

• Form utility

• Place utility

• Time utility

• Possession utility

• Service utility

• Knowledge utility

• (i)Form utility: which is created by changing the size, shape, form, weight, colour, smell of inputs in
order to make the outputs more useful to the customers. For example, iron ore is changed to steel,
wood is changed to furniture, etc.

• (ii) Place utility: which is created by changing the places of inputs or transporting the inputs from
the source of their availability to the place of their use to be converted into outputs. For example the
iron ore and coal are transported from the mines to the steel plant to be used in the conversion
process.

• (iii) Time utility: which is created by storage or preservation of raw materials or finished goods
which are in abundance sometime, so that the same can be used at a later time when they become
scarce due to higher demand exceeding the quantity available.

• (iv) Possession utility: which is created by transferring the possession or ownership of an item from
one person to another person. For example, when a firm purchases materials from a supplier, the
possession utility of the materials will increase when they are delivered to the buying firm.

• (v) Service utility: which is the utility created by rendering some service to the customer. For
example, a doctor or a lawyer or an engineer creates service utility to a client/customer by rendering
service directly to the client/customer.

• (vi) Knowledge utility: which is created by imparting knowledge to a person. For example, a sales
presentation or an advertisement about some product communicates some information about the
product to the customer, thereby imparting knowledge.
 Comparison between Production and Operations Management

Scope of Production and Operations Management

• Production and operations management concern with the conversion of inputs into outputs, using
physical resources, so as to provide the desired utilities to the customer while meeting the other
organizational objectives of effectiveness, efficiency and adoptability.

• It distinguishes itself from other functions such as personnel, marketing, finance, etc., by its primary
concern for ‘conversion by using physical resources.’ Following are the activities which are listed
under production and operations management functions:
• 1. LOCATION OF FACILITIES: Location of facilities for operations is a long-term capacity
decision which involves a long term commitment about the geographically static factors that affect a
business organization. It is an important strategic level decision-making for an organization. It deals
with the questions such as ‘where our main operations should be based?’

• The selection of location is a key-decision as large investment is made in building plant and
machinery. An improper location of plant may lead to waste of all the investments made in plant and
machinery equipment. Hence, location of plant should be based on the company’s expansion plan
and policy, diversification plan for the products, changing sources of raw materials and many other
factors. The purpose of the location study is to find the optimal location that will results in the
greatest advantage to the organization.

• 2. PLANT LAYOUT AND MATERIAL HANDLING: Plant layout refers to the physical
arrangement of facilities. It is the configuration of departments, work centres and equipment in the
conversion process. The overall objective of the plant layout is to design a physical arrangement that
meets the required output quality and quantity most economically.

• According to James Moore, “Plant layout is a plan of an optimum arrangement of facilities

including personnel, operating equipment, storage space, material handling equipment and all other
supporting services along with the design of best structure to contain all these facilities”.

• 2.a. Plant Layout:

2.b. material handling:

• ‘Material Handling’ refers to the ‘moving of materials from the store room to the machine and from
one machine to the next during the process of manufacture’. It is also defined as the ‘art and science
of moving, packing and storing of products in any form’.

• It is a specialised activity for a modern manufacturing concern, with 50 to 75% of the cost of
production. This cost can be reduced by proper section, operation and maintenance of material
handling devices.

• Material handling devices increases the output, improves quality, speeds up the deliveries and
decreases the cost of production. Hence, material handling is a prime consideration in the designing
new plant and several existing plants.

• 3. PRODUCT DESIGN: Product design deals with conversion of ideas into reality. Every business
organization have to design, develop and introduce new products as a survival and growth strategy.
Developing the new products and launching them in the market is the biggest challenge faced by the
organizations.

• The entire process of need identification to physical manufactures of product involves three
functions: marketing, product development, manufacturing. Product development translates the needs
of customers given by marketing into technical specifications and designing the various features into
the product to these specifications.
• Manufacturing has the responsibility of selecting the processes by which the product can be
manufactured. Product design and development provides link between marketing, customer needs
and expectations and the activities required to manufacture the product.

• 4. PROCESS DESIGN: Process design is a macroscopic decision-making of an overall process

route for converting the raw material into finished goods. These decisions encompass the selection of
a process, choice of technology, process flow analysis and layout of the facilities. Hence, the
important decisions in process design are to analyse the workflow for converting raw material into
finished product and to select the workstation for each included in the workflow.

• 5. PRODUCTION PLANNING AND CONTROL: Production planning and control can be

defined as the process of planning the production in advance,

• setting the exact route of each item, fixing the starting and finishing dates for each item, to give

• production orders to shops and to follow up the progress of products according to orders.

• The principle of production planning and control lies in the statement ‘First Plan Your Work and
then Work on Your Plan’.
• Main functions of production planning and control includes planning, routing, scheduling,
dispatching and follow-up.

• 6. QUALITY CONTROL: Quality Control (QC) may be defined as ‘a system that is used to
maintain a desired level of quality in a product or service’. It is a systematic control of various factors
that affect the quality of the product. Quality control aims at prevention of defects at the source,
relies on effective feed back system and corrective action procedure.
• Quality control can also be defined as ‘that industrial management technique by means of which
product of uniform acceptable quality is manufactured’. It is the entire collection of activities which
ensures that the operation will produce the optimum quality products at minimum cost.
• 7. MATERIALS MANAGEMENT: Materials management is that aspect of management function
which is primarily concerned with the acquisition, control and use of materials needed and flow of
goods and services connected with the production process having some predetermined objectives in
view.
• 8. MAINTENANCE MANAGEMENT: In modern industry, equipment and machinery are a very
important part of the total productive effort. Therefore, their idleness or downtime becomes are very
expensive. Hence, it is very important that the plant machinery should be properly maintained.

Objectives of Production/Operations Management

• Some of the important objectives of production/operations management are :
• (i) Maximum customer satisfaction through quality, reliability, cost and delivery time.
• (ii) Minimum scrap/rework resulting in better product quality.
• (iii) Minimum possible inventory levels (i.e., optimum inventory levels).
• (iv) Maximum utilisation of all kinds of resources needed.
• (v) Minimum cash outflow.
• (vi) Maximum employee satisfaction.
• (vii) Maximum possible production (i.e., outputs).
• (viii) Higher operating efficiency.
• (ix) Minimum production cycle time.
• (x) Maximum possible profit or return on investment.
• (xi) Concern for protection of environment.
• (xii) Maximum possible productivity.
 Roles of Production/Operations Managers

1. Need to be Focused

In every organization, the Production Manager is responsible for producing the required
quantity of the product in time in accordance with the delivery date. The quantity to be
produced depends on the demand whereas the time by which the product should be
completed is determined by delivering date.

2. Production Control

It is the duty of the production manager to use the resources at his disposal in the best
possible manner as well as to regulate the operation in such a way that the desired delivery
schedule is maintained. It is been done by routing, scheduling, and inspection during
the production process.

3. Quality Control
The major responsibility of the production manager is to manufacture the goods and services
within the desired specifications. Though the quality of the finished goods can be ensured by
the inspection of finished goods it is better to employ measures, which minimize the likelihood
of producing defective items.

4. Analysis & Selection of Production Method

There can be a number of ways in which manufacturing operations can be executed. The
production manager should select the most efficient and economical method to perform the
operation.

5. Plant Layout and Material Handling

The physical arrangement of manufacturing components and the equipment for handling the
material during the production process has a considerable effect on the cost of production. The
material handling system and the plant layout should be most efficient for the given situation.

6. Proper Inventory Control

Inventory implies all the materials, parts, supplies, tools, and in-process or finished products
kept in stocks for some time. The procurement policy of these items requires careful
consideration and analysis. The purchases should be planned in economic lot sizes and the
time of purchase should be so scheduled that the investment in the inventory is at the lowest
possible level. This implies the determination of economic lot sizes and re-order levels.

7. Work-Study

Work measurement & method study and techniques are applied to find the relationship
between the output of goods and services and the input of human and material resources. The
production manager should try to find the most appropriate method of performing various
operations involved in a particular production process so as to obtain the optimum use of the
resource as well as increase productivity.
8. Motivation

Production managers should be able to generate the interest of the workers to increase their
efforts by providing them with wage incentives. This will result, in an increase in labor
productivity.

Responsibilities of Production/Operations Managers

• Production managers are responsible for the amalgamation of five Ps namely

– Product,

– Plant,

– Processes,

– Programs and

– People.

• The product is the most obvious interface between production and marketing. It includes
characteristics such as performance, aesthetics, quality, reliability, selling price, delivery dates and/
or lead times.

• The plant includes buildings, equipment and machinery required to produce the product.

• The plant should have the capacities to meet the present needs as well as that of the future. The
considerations are :

– (i) design and layout of buildings,

– (ii) performance and reliability of machines and equipment,

– (iii) maintenance of machines and equipment,

– (iv) safety of installation and operation of machinery and equipment and

– (v) Environment protection.

• The processes include the transformation or conversion processes which convert the inputs into
outputs.

• The factors to be examined in deciding upon a process are :

• (i) available capacity,

• (ii) available labour skills,

• (iii) type of production,

• (iv) layout of plant and equipment,

• (v) safety requirements in operations and

• (vi) costs to be achieved.

• The programs consist of schedules or timetables which set times for delivery of products or services
to customers. These delivery schedules in turn decide the time schedules for various activities such as
design, purchase, manufacture, assembly, packing and despatch etc.

• The people aspect of production management includes the skills, knowledge, intelligence, etc., of
labour and managerial personnel which is crucial for the efficient and effective utilisation of
resources for the production of outputs.

Types of Manufacturing Processes

• Production systems can be classified as Job Shop, Batch, Mass and Continuous Production systems.

1. JOB SHOP PRODUCTION:

 • Job shop production are characterised by manufacturing of one or few quantity of products designed
and produced as per the specification of customers within prefixed time and cost. The distinguishing
feature of this is low volume and high variety of products.

• A job shop comprises of general purpose machines arranged into different departments.

• Each job demands unique technological requirements, demands processing on machines in a certain
sequence.

Example of Job shop Production:

• A Machine tool shop, a machining center, a paint shop, a commercial printing shop, and other
manufacturers that make custom products in small lot sizes.

Characteristics

• The Job-shop production system is followed when there is:

• 1. High variety of products and low volume.

• 2. Use of general purpose machines and facilities.

• 3. Highly skilled operators who can take up each job as a challenge because of uniqueness.

• 4. Large inventory of materials, tools, parts.

• 5. Detailed planning is essential for sequencing the requirements of each product, capacities for each
work centre and order priorities.

Advantages

• Following are the advantages of job shop production:

• 1. Because of general purpose machines and facilities variety of products can be produced.

• 2. Operators will become more skilled and competent, as each job gives them learning opportunities.
 • 3. Full potential of operators can be utilised.

• 4. Opportunity exists for creative methods and innovative ideas.

Limitations

• Following are the limitations of job shop production:

• 1. Higher cost due to frequent set up changes.

• 2. Higher level of inventory at all levels and hence higher inventory cost.

• 3. Production planning is complicated.

• 4. Larger space requirements.

2. BATCH PRODUCTION:

• Batch production is defined by American Production and Inventory Control Society (APICS) “as a
form of manufacturing in which the job passes through the functional departments in lots or batches
and each lot may have a different routing.”

• It is characterised by the manufacture of limited number of products produced at regular intervals and
stocked awaiting sales.

• Example: pharmaceuticals, to clothing, chemicals and food-based products

 • Advantages

• Following are the advantages of batch production:

• 1. Better utilisation of plant and machinery.

• 2. Promotes functional specialisation.

• 3. Cost per unit is lower as compared to job order production.

• 4. Lower investment in plant and machinery.

• 5. Flexibility to accommodate and process number of products.

• 6. Job satisfaction exists for operators.

• Limitations

• Following are the limitations of batch production:

• 1. Material handling is complex because of irregular and longer flows.

• 2. Production planning and control is complex.

• 3. Work in process inventory is higher compared to continuous production.

• 4. Higher set up costs due to frequent changes in set up.

3. MASS PRODUCTION:

• Manufacture of discrete parts or assemblies using a continuous process are called mass production.

• This production system is justified by very large volume of production. The machines are arranged in
a line or product layout. Product and process standardisation exists and all outputs follow the same
path.

• Example: automotive, electronics, and consumer goods

• Advantages

• Following are the advantages of mass production:

• 1. Higher rate of production with reduced cycle time.

• 2. Higher capacity utilisation due to line balancing.

• 3. Less skilled operators are required.

• 4. Low process inventory.

• 5. Manufacturing cost per unit is low.

• Limitations

• Following are the limitations of mass production:

• 1. Breakdown of one machine will stop an entire production line.

• 2. Line layout needs major change with the changes in the product design.

• 3. High investment in production facilities.

 • 4. The cycle time is determined by the slowest operation.

• 4. CONTINUOUS PRODUCTION: Production facilities are arranged as per the sequence of

production operations from the first operations to the finished product.

• The items are made to flow through the sequence of operations through material handling devices
such as conveyors, transfer devices, etc.

Characteristics

• Continuous production is used under the following circumstances:

• 1. Dedicated plant and equipment with zero flexibility.

• 2. Material handling is fully automated.

• 3. Process follows a predetermined sequence of operations.

• 4. Component materials cannot be readily identified with final product.

• 5. Planning and scheduling is a routine action.

Advantages

• Following are the advantages of continuous production:

• 1. Standardisation of product and process sequence.

• 2. Higher rate of production with reduced cycle time.

• 3. Higher capacity utilisation due to line balancing.

• 4. Manpower is not required for material handling as it is completely automatic.

• 5. Person with limited skills can be used on the production line.

• 6. Unit cost is lower due to high volume of production.

Limitations

• Following are the limitations of continuous production:

• 1. Flexibility to accommodate and process number of products does not exist.

• 2. Very high investment for setting flow lines.

• 3. Product differentiation is limited.

Types of Product Design

• Product Design: An iterative decision-making process which generates detailed plans of how
raw materials and purchased items are to be transformed into useful products.
 • Product Development: A sequence of activities by which products are selected, designed, and
prepared for full production. Product design is a stage of product development.

Factors Influencing Product Design:

1. Customers’ requirements: The product designers must consider and study the requirements of
their targeted customers. The designed product must satisfy customers in terms of good product
requirements like quality, performance, reliability, durability, etc. The product must create confidence
among customers so that they become loyal to it and start entrusting its company. This will lead to
repeated cycle of sales for the company, thus boosting its profits.
2. Production facilities: The product designers must check that production department has got all
necessary facilities to produce a product. Simple product design requires minimum production facilities.
This will make the job of production department easy, and it will also minimize the cost of production.
The machines and tools which are used to produce the product must give comfort and convenience to
the employees of production department.
3. Raw-materials to be used: The type and quality of the raw-materials to be used, greatly influence
the design and making of a product. The designer must have proper knowledge about latest materials,
which are required to produce the product. He must collect information about required materials from
primary and secondary sources. He must also find out what materials are used by the competitors for
 their products.
4. Cost to price ratio: Cost is one of the main factors, which influences the design of a product.
Sometimes the product designer is informed about the maximum cost of the product. So, he has to
design the product within this cost. In such a case, he has no freedom to over-design the product. The
product designer is also guided by the cost of competitor's products. It may happen that the designer first
designs the product and then the final price of the product is decided. In this case, the designer gets a
freedom to design the products. However, he must never over design the product.
5. Quality policy: The design of the product is guided by quality policy, which is fixed by the top level
of management. This policy gives, guidelines for quality standard. It sets the design trend for the future.
It also builds a particular quality image of the company's products. Some companies prefer to have the
'prestige image' for their products. For e.g. Mercedes-Benz, Rolls Royce, Rolex Watches, etc. Other
companies prefer the 'popular image' for their products.
6. Plant and machineries: The product design depends on the availability of plant and machinery.
The designer must not design a product which cannot be manufactured by the machines available in the
company. The machines to be used for production should be of good quality and in a better condition
(well maintained) to meet the needs of the product designers and the quality standards.
7. Effect on existing products: The product designer must consider the impact or effect of the
product design on the existing products of the company. An upcoming new product may badly affect the
sale of existing products. The designer must avoid this situation. For e.g. a company may design a low-
quality product, but it may badly affect the sale of its high quality existing product. Secondly, if a new
product is going to replace a former product, then it must be able to use the same manufacturing and
distribution strategies of the existing product.
8. Reputation of the company: The product designer must consider the reputation of the company in
the market. Companies which have a good name and goodwill in the market will want their new product
designs to match or keep up their positive image.
Types of Product Design:

• Functional Design:

• The process of developing a working prototype of a product from the specifications and functional
requirements without regard to appearance. (Reliability and Maintainability)

• Industrial (Form) Design:

• Focuses on aesthetics (looks) and ease of use. Few companies have consistently offered aesthetically
pleasing and user-friendly products: HP, Sony, Honda
 • Design for Manufacturing:

• The key design stage for preparing a complete and detailed definition for a product: how it will be
manufactured and how it will be used.

CAD/CAM
CAD:Computer Aided designing is a process of preparing a drawing of an object on the screen of a
computer. There are various types of drawings required in different fields of engineering and science. In the
field of mechanical engineering, the drawing of machine components and layouts are prepared. In the field
of civil engineering plans and layouts of building are prepared. In the field of electrical engineering the
layouts of power distribution system are prepared. In other fields of engineering use of computer made for
drawing and drafting. The use of cad process provides enhanced graphic capabilities which allows any
designers to
1. Conceptualize his ideas.
2. Modify the design very easily.
3. Perform design calculations.
4. Uses colures, fonts and others aesthetic features.
Applications of Computer Aided Design (CAD):The following are the applications:
1. Solid Modelling:This process is used to create solid components of desired shape by joining and
cutting different solid volumes. The final solid model is a virtual replica of an actual product but it can
be seen and rotated like a real product. There are two main types:
direct where the model can be edited by undoing or modifying the model directly on the 3D;
parametric where the model is constructed using parameters (variable quantities such as
measurements) and the model can be edited at any point in its history.
2. Surface Modelling:This process is used to create surfaces of desired shape by trimming, stitching

and joining different surfaces to create a final shape model.

3. Assembly: This process is used to assemble the models created in solid or surface modelling to

create a final assembly. This is used to see the actual fitment of all models and see the actual working
of assembly.
4. Drafting Detailing:This process is used to create the 2D drawings of components or assemblies;

usually directly from a 3D model, although 2D CAD can create 2D drawings directly.
5. Reverse Engineering:This process is used to convert the real component into 3D CAD Model.
 Different types of instruments such as laser scanner, white light scanner, CMM (coordinate measuring
machine) etc. are used to measure or decode the shape of real model. The virtual model obtained can
then be modified in a CAD program.

CAM:(Computer Aided Manufacturing): CAM is defined as a process of use of computers in

planning, manufacturing, inspecting and controlling the manufacturing operation directly or indirectly.
CAM includes those activities which manufacture the product with the product drawing and technical
illustration as a input from the CAD and then make the product ready for shipment after inspection and
packaging.
Applications of CAM:The following are the applications:
1. Plotter/cutters:Using 2D CAD or graphics software these machines can draw or cut 2D shapes on

paper, card or self-adhesive vinyl sheets.

2. Laser cutting:Using 2D CAD or graphics software these machines can cut or engrave a wide

variety of materials such as card, plywood, acrylic sheet, textiles, glass.

3. 2.5D Milling: Typically, 2.5D machining uses 2D CAD files as the source and cuts in x and y
directions (parallel to the machine bed) while lowering the tool progressively through several steps
to cut out an object using a rotating tool. Setting tool paths is generally simple and the part cut
rapidly.
4. 3D Milling: 3d machining typically used STL files from 3D CAD programs as a source and requires

all three axes of the mill to be able to move simultaneously. 3D machining can take a very long time
even on fast, modern machines and especially if a high quality finish is required. A fourth or rotary
axis can also be added to create turned parts.
5. Turning: CAM software automates traditional turning on a lathe including roughing, grooving,

threading and finishing for faster, more accurate results.

6. 3D printing: 3D printing is a process of making a three-dimensional object of virtually any shape

from a digital model. It is achieved using an additive process where successive layers of material
(usually thermoplastic) are laid down. Each layer is a thinly sliced, horizontal cross-section of the
eventual object. Each object begins with a CAD file, created with a 3D modelling programme, or by
reverse engineering.
Advantages of CAD/CAM: The following are the advantages of CAD/CAM:
1. It's easy to develop and edit 2D and 3D images and view them from different angles. Its easy to
experiment with different finishes.
2. Very realistic designs can be produced to show clients what their product will look like.
3. Products can be machined at high speed 24 hours a day - this means lots of products can be made in a
short time.
4. CAM gives a high quality and more reliable finish - there is no human error.
5. You can mass-produce complicated products, each part can be made by a different machine so they
can be assembled quickly.
6. Labour costs are low
7. Designs can be sent around the world.
Disadvantages of CAD/CAM: The following are the disadvantages of CAD/CAM:
1. Expensive.
2. Computers can be affected by software problems, viruses and corrupted files meaning work could be
lost.
3. Fewer workers are needed, so unemployment might increase and traditional skills will be lost.

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