4 M’s of Production System

The Production System

• The production system consists of three essential elements: input, transformation process, and output.
• Input includes manpower, materials, machine, design, and instructions.
• The transformation process, also known as the production process, is where materials are transformed into the final product with the aid of manpower and machine.
• Output represents the final product distributed to customers.

The 4 M's of Production

• The 4 M's of production are the most critical factors in the production system.
• They are: Manpower, Method, Machine, and Materials.
• The quality of these factors determines the quality of the output.

Manpower

• Manpower refers to the human labor force involved in manufacturing products.
• It is considered the most important and primary factor of production.
• Entrepreneurial considerations for manpower include:
  • Educational qualifications and experience
  • Status of employment
  • Number of workers required
  • Skills and expertise required for the job

Materials

• Materials refer to the raw materials necessary for production.
• They form part of the finished product.
• Entrepreneurial considerations for materials include:
  • Cost
  • Quality
  • Availability
  • Credibility of suppliers
  • Waste production

Machine

• Machine refers to manufacturing equipment used in production.
• Entrepreneurial considerations for machine selection include:
  • Type of products to be produced
  • Production system to be adopted
  • Cost of equipment
  • Capacity of equipment
  • Availability of spare parts in the local market
  • Efficiency of equipment
  • Skills required to run the equipment

Method

• Method refers to the production process or way of transforming raw materials into finished products.
• Entrepreneurial considerations for method selection include:
  • Product to be produced
  • Mode of production
  • Manufacturing equipment to use
  • Required skills to do the work