A-level Business Studies Lesson 21 (3.4.1)

Question 1

Operations management

Answer 1

The process that uses the resources of an organisation to provide the right goods or services for the customer.

Question 2

Operational objectives

Answer 2

Specific, focused targets of the operations management function within an organisation.

Question 3

Unit cost

Answer 3

The cost of producing one unit of output. It is calculated by the formula unit. Cost = total cost / units of output.

Question 4

Quality

Answer 4

Those features of a product or service that allow it to satisfy or
delight customers.

Question 5

Speed of response

Answer 5

The time taken for a customer requirement to be fulfilled.

Question 6

Flexibility

Answer 6

The ability of an organisation to change its operation in some way.

Question 7

Dependability

Answer 7

Measures whether a business is on time in providing for its customers needs.

Question 8

Environmental objectives

Answer 8

The aim set by a business that indicates its commitment to helping those aspects of the environment where it has an impact.

Question 9

Adding value

Answer 9

The process of increasing the worth of resources by modifying them.

Question 10

Added value (valued added)

Answer 10

Sales revenue minus the cost of bought-in materials, components and services.