3.4 operational performance Flashcards
6 different operational objective that a business may set itself SMART
specific, measurable, attainable, realistic, time bound.
2 internal influences on operational objectives
corporate objectives, human recourses.
2 external influences on operational objectives
economy, technological change
define capacity
is the maximum output of a business at a moment in time given its recourses
lean production definition
cutting out waste, ensuring quality
benefits of lean production
eliminates waste, worker satisfaction
negatives of lean production
lower margin for error, inefficiencies
optimal recourse mix
combination of capital and HR for greatest efficiency.
quality definition
meeting the needs and expectations of customers
quality control
inspecting the quality at the end
quality assurance
checking quality in the process of making the product
2 benefits of improving quality
repeat customers, better reputation
2 consequences of poor quality
bad reputation, less likely for repeat customers
define mass customisation
marketing and manufactoring custom made products, low unit cost
a way a business can manage supply to demand
produce to order
