Bacha Log, let’s see now, in this Module, Production Strategy. The strategy for production
are related to the production system, operational planning and even control and research
and development (R & D). The strategy adopted affects the natures of product/service, the
markets to be served and the manner in which the markets are to be served. The
Production System, number 1, is concerned with the capacity, location, layout, product or
service design, work systems, extent of vertical integration and such factors. Strategies
related to production system are important as they deal with vital issues affecting the
capability of the organisation to achieve its objectives. Strategy implementation would have
to take into account the production system factors as they involve decisions which are long-
term in nature and influence not only the operations capability but also achieve objectives.
Operations Planning and Control, strategies related to operations planning and controls are
concerned with aggregate production plan, materials supply, inventory cost and quality
management and maintenance of plant and machine.