Production organization

The term “organization” is formed from the French word organization and means the device, a combination someone or what – or in a whole. The organization assumes internal orderliness of parts whole as means of achievement of desirable result.

Production organization

In production of goods two parties are allocated: the productive forces and relations of production forming a method of production of this society in the unity.

Productive forces are the forces and means participating in social production. The major components (elements) of productive forces are people and means of production. The main element of productive forces — people, workers. They set means of production in motion, create tools and objects of the labor, enhance them. Means of production include instruments of labor and objects of the labor. Instruments of labor are machines, devices, tools by means of which the person influences nature substance, regarding work. An object of the labor — an object of application of forces of the person, all what his work is directed to from what the ready-made product turns out. These raw materials, main and auxiliary materials, fuel, semifinished products.

The person — a personal production factor, tools and objects of the labor — material factors. In order that all production factors could function in single production process, they need to be united.

The production organization also performs the first, backbone function, connecting personal and material production factors in single production process.

Relations of production are human relations in a production process and distributions of material benefits. They develop under the influence of productive forces, but also active impact on them, accelerating or slowing down increase in production, technical progress.

Relations of production form the difficult system including the technological and social and economic relations.

The technological relations act as the relations concerning joint work of participants of a production process. A basis of these relations are separation and labor co-operation which lead to isolation of separate works, of crews, sites, shops and cause need of adjustment between them production communications.

The following function of production organization — establishment between certain contractors and production divisions of the various communications providing joint activities of the people participating in a single production process.

The social and economic relations express the human relations determined by nature and a form of public assignment of means of production, the property relations. The social and economic relations are an important element of creation of unity of economic interests of society, collective and certain workers in achievement of the highest production efficiency.

The production organization realizes at the same time the third function — creation of the organizational conditions providing interaction on an economic basis of all production links as single technological system.

At last, it is possible to allocate also the fourth function which is intended to solve problems of creation of conditions for increase in level of labor life of workers, fixed professional and welfare self-development and self-improvement of a manpower of the entity.

Thus, the essence of production organization consists in consolidation and ensuring interaction of personal and material elements of production, establishment of necessary communications and coordinated actions of participants of production process, creation of organizational conditions for implementation of economic interests and social needs of workers on production enterprise.

Production organization as independent field of knowledge

The production organization represents independent scientific discipline. She has the object of research, the theory and a special conceptual framework, studies a circle of regularities and principles absolutely certain, inherent in this science.

The object of science determines, than this science what phenomena of objective reality it studies is engaged. The relations arising in the sphere of production of material benefits at the level of a local link of the industry — the entity form an objective basis of production organization.

During forming and functioning of process of production of goods the following types of the relations which are the relations of production organization are shown:

  • net technical relations expressing forms of consolidation of people and material production factors;
  • the human relations arising concerning joint work of participants of production process;
  • the relations providing communication between technical aspect of productive forces and the relations of property;
  • the relations characterizing interdependence of material, energy and professional resources of the entity.

As sciences also should be considered a subject of production organization studying of the relations of production organization in the sphere of production of material benefits.

The theory determines laws and consistent patterns of course of processes or development of the phenomena studied by specific science. The law characterizes an internal stable relation and essential inter-conditionality of any phenomena of objective reality. Regularity usually call steady cause and effect repeatability and the sequence in the phenomena. Regularities answer and correspond to laws.

Content of production organization as sciences is establishment of the causes and effect relationships and regularities inherent in production organization, for the purpose of determination and implementation in practice of effective organizational forms, methods and a condition.

The production organization, as well as any other science, relies on a certain group of laws and the regularities corresponding to them. Provisions of this science are based on economic laws, laws of separate technical and natural science (for example, cybernetics, the theory of systems, the management theory). At the same time she relies on own laws and only to her inherent regularities.

In the theory of production organization the principles of production organization representing starting positions on the basis of which are performed creation, functioning and development of production systems and their separate subsystems are determined. In case of creation of this or that subsystem the principles reflecting specific features of these subsystems are used. The principles of production organization will be considered in the sections of the textbook devoted to the description of separate subsystems of production.

The production organization as independent scientific discipline possesses own conceptual framework including categories inherent in it and concepts. Carry the terms (which are the name of concepts) to number of the terms used in scientific and practical activities: certification of workplaces, a manufacturing defect, a brigade form of work, types of movement of kit of parts, group production, scheduling, I touched, complex preparation of production, a method of production organization, work in progress, operational planning, a production system, production cycle, flow line production, kit of parts, production structure, a rhythm, a step, production type, etc.

The science of production organization has a certain circle of objects of studying. In a schematic form the circle of the theoretical problems studied by science includes: object of science of production organization; the production organization place in the system of sciences; system of laws, regularities and principles of production organization; system concept of production organization; forms and methods of production organization; production organization development; theory and methods of determination of cost efficiency of production organization; forms and implementation methods of scientific developments in production.

Regularities of production organization at the entity

Production organizations on industrial enterprises are inherent certain regularities. Among these regularities the purposes should call compliance of production organization it. This regularity predetermines methodical approaches to forming of production organization taking into account requirements of the most complete use of resources, strengthening of creative nature of work, creation of organizational conditions for implementation of material interest  in results of production which reflect main objectives of the organization. Achievement of the planned purposes is provided with the solution of the organizational tasks answering these purpose. Nature of such tasks is very various and is determined by features of an object of the organization.

So, for example, important tasks which shall be solved for implementation of the purposes of production organization on the site are:

  • creation of necessary proportions in production capacity of the site;
  • establishment of rational balance of workplaces and contractors;
  • coordination of time of accomplishment of transactions on all workplaces;
  • distribution of labor functions between workers;
  • forming of operating plans and issue of tasks to workers;
  • creation of incentives to work;
  • organization of maintenance of workplaces, etc.

Other regularity is compliance of forms and methods of production organization to characteristics of its material basis. According to this regularity content of production organization is determined by features and the level of development of the equipment and technology. The manual work, the mechanized production and the complex automated production process require the different organization. The changes happening in technical means and the production technology lead to changes in the content of work and qualification working and as a result — to changes in nature of production organization. The called regularity assumes ensuring adequacy of a condition and level of production organization to its material basis which is constantly changing under the influence of scientific and technical progress.

Compliance of production organization to specific technological conditions and economic requirements of production is one of essential regularities.

Nature of forms and methods of production organization is determined by a products type, production type, its scales, etc. Depending on these or those conditions in the course of production organization the organizational decisions corresponding to them are applied: the type of specialization of shops and sites, a method of placement of the equipment, a form of the organization of production processes are chosen (line, group, etc.); the type of planned accounting unit in the system of operational planning is determined.

The production organization shall adapt to the changing economic conditions also constantly. Transfer of the entities to the property of collectives, implementation of the rent relations, deepening of self-financing in associations and a pas the entities require use of such organizational forms which would create necessary prerequisites for implementation of economic methods of housekeeping.

Transition to work in the conditions of market economy also imposes a number of new requirements to production organization. The production organization shall become more flexible, elastic, capable quickly and with the minimum costs to be reconstructed on production, to the necessary consumer; it shall be more oriented on improvement of quality. It is necessary to apply the indicators characterizing use of all types of resources taking into account their interchangeability, indicators of early profitability, measurement of cost of product quality, etc. to an efficiency evaluation of production organization.

Complexity of production organization as the general regularity assumes need of consideration of all production processes proceeding at the entity for an interconnection as the single integrated whole.

Concept of partnership

At the modern entity in the conditions of complex mechanization and automation technical means of production and production processes are more and more integrated. The systems of machines which automatically are carrying out not only the main technological, but also transport, warehouse, control operations are created. On the basis of implementation of computer-aided engineering systems and management automation the single systems of preparation of production and production of products appear. The main production processes, processes of maintenance and material security are integrated. All these changes cause complex nature of problems of production organization.

Continuous improvement of production organization is important regularity which accounting serves as an indispensable condition of maintenance of a condition of the organization in practical activities at the modern level. This regularity requires transition from step-by-step to fixed (current) enhancement of production organization. With respect thereto in an enterprise management system new independent function of a fixed organizational improvement of production appears. Changes shall be made to the existing production organization continuously in process of changes of technical basis of production, nature of products, structure and qualification of a personnel and also as search result of new, progressive forms and methods of the organization and production management.

In modern conditions the regularity which is expressed in compliance of forms and methods of production organization to requirements of increase in pithiness of work of workers, expansions their labor functions, ensuring appeal of work is more and more shown. In case of the choice of forms of job management it is necessary to consider qualification and cultural levels of working, to care for that work brought to the worker satisfaction, to stimulate creative activity and rationalization activities of participants of production. In case of production organization it is necessary to consider features of activities of the entity in market conditions and to be guided by stabilization of employment of workers. The worker shall be sure that the high performance of his personal labor and effective work of the entity will provide him an employment security.

Mutual compliance of structure of a management system and characteristics of production organization, being one of regularities of the organization, causes need of full-time work on maintenance of this compliance. The production structure of associations and the entities, methods of the organization of production processes are in fixed movement. In most cases these changes require changes in a management system, in its structure.

So, increase in independence and responsibility of local links of the entities and associations in new conditions of managing leads to reducing number of line managers and divisions, commas a regulation and control. The value of the staff divisions occupied with technical and material security of production increases. Such reorganization of a management system requires transfer of all production functions from governing bodies in local production links — shops, sites, crews, and all functions of technical training and material security — in staff divisions.

In the advanced industries of mechanical engineering reorientation of production structure from production processes on a product is performed that leads to creation of the subject closed shops and sites, productions on release of certain products. In these conditions there are also changes of a management system which go in the direction of creation of the corresponding structural links, requiring entering of new economic conditions.

The important regularity of production organization should be considered participation of workers in work on production organization at the entities and in associations. Practical steps in this direction are taken on the basis of entering of the new relations of property, deepening of intra production cost accounting, transition to self-government of labor collectives. At the same time real participation of workers in production organization assumes transfer of a number of the managerial rights to a local link — to the shop, the site, a crew.

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