ABSTRACT
The basic production processes should be established, important policy decisions regarding whether some items will be subcontracted or made in-house must also be made. The production programme during the first year or the 'learning period’, will normally be a compromise between the desire to increase output as quickly as possible and the rate at which labour can be absorbed onto the production line. In achieving this balance, advantage can be taken of the learning curve, in particular the time-constant method. The learning curve drawn on the basis of output per unit time is recognised by industry for its usefulness, particularly when the horizontal axis is drawn on a basis of elapsed time rather than number output. This curve, with a shallow 'S' shape, is found to be a good fit with the growth in output actually achieved, even when the labour is not taken on in the idealised way shown.
