It is one of the three primary forms of manufacturing with job and flow being the others. While job system is used in cases where high level of customization is required and flow is used where the same product is to be mass produced, batch production system offers flexibility in terms of these two factors. It allows customization to some extent in order to meet specific customer needs while ensuring higher productivity than a job based system.
It reduces cost as a single production line can be produced to manufacture different products with slight modifications while use of specialist machinery and skills can increase the output and productivity. However, it has certain disadvantages as well viz. the switching time lost in changing jobs and large work in process inventory leading to inventory costs.
To reduce changeover time, jigs and templates are generally used. The time taken between consecutive batches is known as cycle time. Batch production techniques are generally used in Baking / meal preparation and Clothing production.