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12: Observing Factories

A factory, or "manufactory," brings together the various processes for producing finished goods. There can be quite a complicated arrangement of materials and machines, each attending to the production of a component, then the assembly of components into the finished products.

In this chapter he provides a list of questions to consider when touring a factory in order to sort out its operations and understand the ways in which it functions and to identify key advantages and issues.

(EN: The list of questions seems entirely random and jumbled, so I'll try to categorize.)

General Questions

  • The products made at the operation
  • A brief sketch of its history
  • Materials

  • The sources of its materials
  • A list of its inputs
  • Whether each input is in a raw state or has been previously worked
  • Waste

  • What defects are common
  • What portion of material is wasted in proportion to used in products
  • How goods are inspected
  • What is done with waste and defective goods
  • Financial

  • The cost of inputs
  • The usual price of products
  • The capital investment in plant and equipment
  • Duties, taxes, and bounties on production
  • The profit made on each good
  • Operational

  • What machinery and tools are used
  • Whether tools are provided or brought by workers
  • The wear and tear on machinery
  • The number of processes to create a finished good
  • The number of laborers necessary to each process
  • Human Resources

  • The number of employees
  • The skills that are needed from labor
  • How much training is needed
  • How and how much workers are paid
  • The number of shift and working hours
  • Marketing

  • The quantity of goods made
  • The chief competitors and whether they are foreign or domestic
  • The chief consumers and whether they are foreign or domestic
  • Whether the good is sold to consumers or to other industries
  • Whether the factory sells direct, through brokers, or through middlemen
  • He suggests that by answering these basic questions, one can form a very detailed understanding of the operations of a factory - but it is a generic overview and there are likely more questions to be asked of a specific kind of operation.