1. operations processes

Question 1

What are inputs?

Answer 1

Inputs are the resources used in the transformation process.

Question 2

What are the common direct inputs?

Answer 2

1. Labour - the human effort (mental and physical)
2. Energy - the form of electricity or fuels converted into another form.
3. Raw materials- basic components or unprocessed natural resources used.
4. Capital equipment - the machinery and technology used in the process

Question 3

What is capital-labour substitution?

Answer 3

Machinery and technology displace people by doing the work they do.

Question 4

How are inputs classified?

Answer 4

1. Transformed resources
2. Transforming resources

Question 5

What are transformed resources and what does it include?

Answer 5

Transformed resources are those inputs that are converted in the operations process.
- Materials
- Information
- Customers

Question 6

What are materials as a transformed resource, and what are the types of materials?

Answer 6

Materials - basic elements used in production process
1. Raw materials - substances in unprocessed state
2. Intermediate goods - unfinished goods and undergo further processing

Question 7

What is information as a transformed resource?

Answer 7

knowledge gained from research, investigation and instruction, resulting in increased understanding.

Question 8

What are the two sources of information?

Answer 8

1. Internal - comes from within business, internal sources (financial reports, quality reports, key performance indicators, customer feedback)
2. External - market reports, statistics from industry bodies, ABS, media, academic reports- independent source of info for operations management

Question 9

How are customers transformed resources?

Answer 9

• Customers become transformed resources when their choices shape inputs.
• Consumer orientation - preferences and interests as start for production process

Question 10

What are transforming resources and what does it include?

Answer 10

those inputs that carry out the transformation process.
- Human resources
- Facilities

Question 11

How are human resources a transforming resource?

Answer 11

• Coordinate machinery, raw materials and finance to produce product
• Productivity and efficiency to operations
• Their effectiveness can determine success of transformation and value adding

Question 12

What are facilities as a transforming resource?

Answer 12

Facilities refer to the plant (factory or office) and machinery used in the operations processes.

Question 13

What decisions does management need to make for facilities as a transforming resource?

Answer 13

• Location of facilities
• Impact of zoning and other restrictions
• Efficient plant design
• Optimum plant layout

Question 14

What is transformation?

Answer 14

Transformation - conversion of inputs into outputs.

Question 15

What is volume?

Answer 15

Number of products that operations needs to produce.

Overproducing leads to waste and inventory costs, while underproducing results in lost sales.

Question 16

What is lead time?

Answer 16

Time taken to fulfill an order from the time it is received.

Question 17

What is variety?

Answer 17

The number of different models and variations in services that operations needs to create.

Greater variety requires more operational processes to allow for variation.

Question 18

What is mix flexibility?

Answer 18

Product range or variety of choice.

Question 19

Example of variety in operations?

Answer 19

McDonald’s has a wide range of options for their consumers which change depending on the time.

Question 20

What is variation in demand?

Answer 20

The variation in demand over time; operations needs to be flexible to increase or decrease output.

Question 21

When may increased demand be hard to meet?

Answer 21

Suppliers cannot increase delivered inputs, labor is not skilled/available, demand may be forecasted.

Question 22

Example of variation in demand management?

Answer 22

Yakult is adaptable to the demand of their product, flexible to the changing levels of consumer demand. They change the conveyor belt speed depending on the demand to ensure they don’t over or under produce.

Question 23

What is visibility to customers?

Answer 23

The degree to which customers can see the operations in action and be involved in the process, amount of customer contact.

Question 24

Examples of visibility to customers?

Answer 24

Subway, where customers can observe the entire transformation process.

Education, where students are heavily involved in the provision of the service of teaching.

Question 25

What is sequencing and scheduling?

Answer 25

**assist with structuring and ordering the transformation processes (support efficiency) **Sequencing refers to the order in which operations process occur. Scheduling refers to the length of time activities in the operations process take.

Question 26

What are Gantt charts?

Answer 26

Gantt charts outline the activities that need to be performed, the order in which they should occur, and how long each activity is expected to take.

Question 27

What are the advantages of Gantt charts?

Answer 27

1. Forces manager to plan steps needed to complete a task and to specify required time for each task. 2. Makes it easy to monitor progress against planned activities. 3. Enables managers to increase efficiency by identifying simultaneous tasks.

Question 28

What is critical path analysis?

Answer 28

Critical path analysis is the shortest length of time it takes to complete all tasks necessary to complete a process/project.

Question 29

What is the benefit of critical path analysis?

Answer 29

Critical path analysis enables a manager to identify what needs to be done, allows the timing of tasks to be considered, and provides direction and coordination to operations processes.

Question 30

what is technology in transformation process of operations?

Answer 30

application of scientifici knowledge for practical pruposes - Machinery and devisies devleoped from scientfic knoweldge that businesses use in the operations process Enable all aspects of business to work more efficiently

Question 31

what is leading edge technology and what are its advanatges and disadvantages?

Answer 31

Leading edge - brand new technology in the market. advantages: - Competitive edge over other businesses. disadvanatges: - Expensive - Dont know if it will work

Question 32

what is establsihed technology and what are its advanatges and disadvantages?

Answer 32

Established - previously existing and used technology. advantages: - Cheaper - Reliable - know it works disadvantages: -Widely used - limits competitive edge

Question 33

how is technology used in manufacturing businesses?

Answer 33

- Used to speed up processes - Enable more complete utilisations of raw materials - makes processes more cost effective

Question 34

how is technology used in services businesses?

Answer 34

- Smart devices, office and communication technology - Enabled markets to open up - Allow for SME's to trade globally

Question 35

how can businesses manage the cost of technology?

Question 36

what are the types of technology in transformations processes? (+definitions)

Answer 36

1. Office - Allows for opportunity for increased efficiency - greater range of tasks completed in working time 2. Manufacturing - Includes computer aided design (CAD) and computer aided manufacturing (CAM)

Question 37

examples of office technology?

Answer 37

- Computers - printers - EFTPOS

Question 38

examples of manufacturing technology?

Answer 38

* robotics * CAM - Computerised design tool allows businesses to create product possibilities in the form of three dimension diagrams. - CAM - Software that controls manufacturing processes, alter manufacturing process to ake greater use of computer technology.

Question 39

what is task design?

Question 40

what are the steps of task design process?

Answer 40

1. Define task to be done 2. Analyse job info into duties 3. Determine how difficult and allocate time 4. Match tasks to existing state/federal awards 5. Articulate task through job descriptions, pay scale and experiences needed to successfully complete task

Question 41

What is process layout?

Answer 41

Arrangement of machines so machines are equipment are grouped together by function/process performed.

Question 42

What are the workplace layout options?

Answer 42

1. Process layout 2. Product layout 3. Fixed position layout

Question 43

what is process production + example?

Answer 43

**PROCESS LAYOUT **deals with high variety, low-volume production. **The product moves to relavent machinery depending on variations it has different teams go through the transformation process. ** SERVICES - banks etc, handling customers with different needs. MANUFACTRUING - parts in small quantities

Question 44

what is product production + example?

Answer 44

**PRODUCT LAYOUT **(mass production) **characterised by manufacturing high volumes of constant quality goods. ** ASSEMBLY LINE - YAKULT - equipment arrangement relates to the sequence of tasks performed in manufacturing a good. - Workstations match sequence of tasks

Question 45

what is project production + fixed position layout?

Answer 45

Project production - layout requirements for large-scale, bulky activities - Bridges, ships, aircraft, buildings - More efficient to bring materials to the site - Workers and equipment come to work area Fixed position layout - product remains in one area.

Question 46

What does monitoring, control and improvement achieve?

Answer 46

Monitored for effectiveness. Monitoring + control (with focus on quality and standards) = improvements.

Question 47

What is monitoring?

Answer 47

The process of measuring actual performance against planned performance.

Question 48

What need is monitoring arranged around?

Answer 48

Need to measure key performance indicators (KPIs).

Question 49

What are KPI's and some examples?

Answer 49

KPI's - predetermined variables measured so appropriate controls to operations processes can be made. ## Footnote Examples include: Process flow rates, Lead and wait times, Defect rates.

Question 50

What is control?

Answer 50

Occurs when KPIs are assessed against predetermined targets and corrective action is taken if required.

Question 51

How can control be exercised in the transformation process?

Answer 51

By setting challenging but reasonable performance targets and taking corrective action if problems identified.

Question 52

What is improvement?

Answer 52

Refers to systematic reduction of inefficiencies and wastage, poor work processes and the elimination of any bottlenecks.

Question 53

What is a bottleneck?

Answer 53

Aspect of the transformation process that slows down the processing speed or creates an impediment, leading to a backlog of incompletely processed products.

Question 54

What are the factors in which improvement is sought?

Answer 54

1. Quality 2. Time - minimising lead, wait times 3. Process flows - smooth transitions between processes 4. Efficiency - reduce waste, greater output for input 5. Cost - minimise and review expenses.

Question 55

What are outputs?

Answer 55

The end result of the business efforts — the good or service that is provided or delivered to the customer.

Question 56

What must outputs achieve?

Answer 56

Operations manager must link transformation processes to the activities performed by other areas of the business. Must be responsive to customer demands. Issues of quality, efficiency, and flexibility must be balanced against the resources and strategic plan of the business.

Question 57

What does customer service refer to?

Answer 57

How well a business meets and exceeds the expectations of customers in all aspects of its operations.

Question 58

What is central to customer service?

Answer 58

Ensure that the correct good or service is delivered or provided at the right place at the right time.

Question 59

Why is customer service important?

Answer 59

Maintain existing customers, attract new customers, and develop long-term customer relationships.

Question 60

What are warranties?

Answer 60

A business’s promise to correct any defects in their goods provided or in the services delivered. Can be used to assess the effectiveness of operations process.