IB Design Technology 4.3 Scales of Production Notes

Scales of Production

Understanding the Scale of Production

1. The scale of production refers to the volume or quantity at which a product is manufactured.
2. The choice of production scale affects the cost, efficiency, and type of production process used.

Economies of Scale

1. Economies of scale occur when increasing the quantity of production leads to lower costs per unit.
2. This happens because:
   1. Bulk purchasing reduces the cost of raw materials.
   2. Efficient machinery & automation lower labor costs.
   3. Fixed costs (e.g., factory rent, equipment) are spread over more units.
3. However, large-scale production requires significant investment in:
   1. Expensive machinery and factory space.
   2. Skilled labor or automation to manage production.
   3. Logistics & storage to handle large volumes.

Types of Production & Their Characteristics

1. Production processes vary depending on scale, cost, customization, and efficiency.
2. Below is a breakdown of different manufacturing methods with new examples and analogies.

1. One-Off Production (Custom, Unique Items)

1. What It Is:
   1. Producing a single, highly customized product.
   2. Requires skilled labor and specialized tools.
   3. Often used in luxury, medical, or artistic industries.
2. Examples:
   1. Custom wedding dresses – Handcrafted based on individual measurements and designs.
   2. Handmade guitars – Crafted for specific musicians with unique wood and tuning.
   3. Architect-designed homes – Houses built exactly to client specifications.
3. Advantages:
   1. Full customization
   2. High-quality craftsmanship
4. Disadvantages:
   1. Expensive due to labor and material costs
   2. Time-consuming, not scalable