23. Glossary Flashcards
Transformational process
An activity or group of activities that transforms one or more units, adds value to them, and produces output for customers.
Intellectual capital
The integible capital of a business that includes human capital (well-trained and skilled employee), structural capital (database and information systems) and relation capital (good links with suppliers and customers).
Productivity
The ratio of outputs to inputs during production (e.g. output per worker per timeperiod)
The level of production
The number of units produced during a time period
Efficiency
Producing output at the highest ratio of output to input
Effectiveness
meeting the objectives of the business by using inputs productively to meet customer’s needs.
Sustainability of operations
Business operations that can be maintained in the long term, for example, by protecting the environment and not damaging the quality of life for future generations.
Labour intensive
Involving a high level of labour input compared with capital equipment
Capital intensive
Involving a high quantity of capital equipment compared with labour input.
Job production
The production of a one-off item specially designed for the customer
Batch production
the production of a limited number of identical products - each item in the batch passes through one stage of production before passing on to next stage
Flow production
The production of items in a continually moving process
Mass customisation
The use of flexible computer-aided technology on production lines to make products that meet individual customers’ requirements for customised products.
