A production department is a group of functions within a business that is responsible for the manufacture of goods. This can include just a few specialized functions with all other work outsourced, or a fully functioning department that converts raw materials, assembles components into finished goods, and packages them.
The production department can be the largest organization within a business. It may employee mechanics, machine setup specialists, maintenance personnel, and machine operators.
A key focus of the production department is efficiency. To that end, the bottleneck operation within the facility is closely monitored and supported so that throughput (revenue minus variable costs) is maximized.