1. Producing department:
A producing department is directly concerned with manufacturing products
or doing work on various jobs. Producing department is a department which takes
services from service department and changes the shape of materials.
For Example: producing department
are cutting, finishing, maching, mixing and refining.
2. Service department:
A service department
renders service to various departments and is
not directly associated with
manufacturing operations. Service department cannot change the shape of materials
only provide services to producing department.
For Example:
service department are maintenance, medical, powerhouse, purchasing, receiving
and cost accounting.
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