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What is the aim of focus factories in manufacturing?
Focus factories:
The aim of this is to decrease the cost of ‘part finished stock’ for example, work-into-progress. Part finished stock is costly not only to store, but this also cannot be sold since this is not ready and could be holding-up potential sales. Focus factories know traditional factories, that normally take parts of a few products and mass produce into anticipation of demand, in its place manufacturing is organised in smaller stand alone factories or cells, along with every team responsible for making a whole product. In contrast focus factories are ‘product’ like opposed to processes driven. It facilitates expertise to be enlarged, speeds up production, reduces waiting times and less inventory is held,
Measuring the impact of a capital acquisition on productivity is an example of multifactor productivity.
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