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Manufacturing Process Types and Product-Process Matrix Reference

Choosing how to organise production starts with volume and variety. This reference compares the main process types, from project and job shop to continuous flow, with layout, planning approach and how each is usually represented in an ERP.

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Process type	Volume	Product variety	Typical layout	Flow	Example	Planning approach	Typical ERP setup	Main watch-out
Project	One	Unique	Fixed position	None, work comes to the product	Shipbuilding, large press line install	Network scheduling, milestones	Project module with WBS and milestones	Schedule slip and cost overruns on changes
Job shop	Low	Very high	Functional departments	Jumbled	Custom machining, tool and die	Finite scheduling, dispatch lists	Job based routings, engineer to order or make to order	Long queue times, hard to forecast load
Batch	Low to medium	High	Functional or hybrid	Interrupted	Aerospace components, specialty chemicals	MRP with lot sizing, work center capacity	Standard discrete MRP with routings	Setup time and batch size trade-offs
Manufacturing cell	Medium	Medium	Cellular, part families	Short loops	Machine cell for part family	Pull within cell, MRP outside	Cell as work center, labor reporting by cell	Cell balance and cross training
Repetitive	High	Low to medium	Product line	Continuous discrete	Appliances, electronics assembly	Rate based, kanban, line scheduling	Repetitive or rate based module, backflush	Line changeovers and component supply
Assembly line	High	Low	Product line, paced	Line balanced	Automotive final assembly	Takt time, sequence scheduling	Line scheduling, VIN or serial tracking	Line stoppage cost is very high
Continuous or process	Very high	Very low	Product, fixed equipment	Continuous	Petrochemicals, paper, cement	Capacity maximization, campaign planning	Process manufacturing with formulas and co-products	Unplanned shutdown and yield loss
Batch process	Medium	Medium	Vessels and process units	Batch by recipe	Pharmaceuticals, food, paints	Recipe scheduling, campaign sequencing	Formula, lot traceability, potency or grade attributes	Cleaning and changeover between batches
Make to stock	High	Low	Any	Planned to forecast	Standard fasteners	Forecast and replenishment	Forecast driven MRP, safety stock	Obsolete inventory if forecast misses
Assemble to order	Medium	High options, few modules	Final assembly cell	Modules stocked, final to order	Configured industrial equipment	Module forecast, final assembly schedule	Planning BOM, configurator	Option mix forecasting
Make to order	Low to medium	High	Functional or hybrid	Started on customer order	Specified pumps	Order driven MRP, promise date calculation	Sales order linked production, available to promise	Lead time must be competitive
Engineer to order	Low	Unique	Functional or fixed position	Design then build	Custom machinery	Project plans with engineering gates	Project costing, engineering BOM, change control	Design change cost after build starts

Classic product-process matrix logic: moving from job shop toward continuous flow trades flexibility for unit cost. Real plants often mix types, and ERP setup depends on the product in question.

Match ERP to your process mix

Optional: a short discussion on how ERP setups differ by process type.

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How to use the table

Find the row closest to each of your product families and note the planning approach and ERP column. Plants are rarely a single type: a company may run a job shop for prototypes, batch for standard parts and a line for its volume product. Export the table to Excel, add a column for your own families and use it in strategy or ERP selection discussions.

The product-process matrix

The product-process matrix, described by Hayes and Wheelwright, plots process structure against product structure. Low volume, high variety work sits at the job shop end, high volume standard work at the continuous flow end. Staying on the diagonal usually matches cost to need. Off diagonal positions can be deliberate, for instance a niche job shop with premium pricing, but they need a clear reason.

Delivery strategy versus process

Make to stock, assemble to order, make to order and engineer to order describe how far inventory is held ahead of the customer order. They are separate from the physical process. A batch process can be make to stock or make to order. Mixing them up is a common source of ERP configuration mistakes, since planning logic differs for each.

Common mistakes

Applying lean line balancing to a job shop without grouping part families, forcing finite scheduling on a continuous plant, and buying an ERP module designed for a different process type are frequent errors. Check whether the system supports your dominant type natively before relying on customisation.

Frequently Asked Questions

What is the difference between batch and repetitive manufacturing?

Batch work is made in lots with changeovers and varied routings. Repetitive work flows at a set rate on a dedicated line with little variation. Repetitive is higher volume, lower variety and usually planned by rate rather than by order.

Can one plant have several process types?

Yes, and most do. It is common to run different areas as job shop, cell and line. Map each product family separately for planning and costing.

Which process type is the most flexible?

A job shop is the most flexible, as general purpose machines and skilled operators can make many different parts. The trade-off is higher unit cost, longer lead time and harder scheduling.

Does ERP choice depend on process type?

Strongly. Discrete, process (formula based) and project-driven manufacturing need different features. Check that the planning, costing and traceability model fits before you shortlist.

If you are matching an ERP to your process mix, Netray can talk through how common systems handle each type. The reference works without us.

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