a293 year 11 Flashcards
what is production
when raw materials and goods and other inputs are made into outputs and eventually into the final product
what is transformation
when raw materials and other inputs are TRANSFORMED into finished goods to sell to customers
what is job production
where items are made individually and each item is finished before the next one is started.
what is batch production
where groups of items are made together. Each batch is finished before starting the next block of goods. For example a baker would produce 10 loaves of white bread before making a batch of 10 loaves of brown bread
what is flow production
where identical, standardised items are produced on an assembly line. Most cars are mass-produced in large factories using conveyor belts and expensive machinery such as robot arms.
what kind of things is flow production used for
Flow production is used to mass produce everyday standardised (all the same) items such as soap powder
what kind of things is batch production used for
Batch production is used to meet group orders.
whats good about “ECONOMIES OF SCALE”
it leads to lower unit costs and prices as you are buying in bulk
what is customer service
Customer service is the experience a customer gets when using products made by the business.
why is it good that a customer has a good customer service
so they can:
- make repeat purchases
- recommend to friends and family which could lead to additional sales
what does transformation mean
when a set of inputs such as raw materials, is turned into outputs, such as finished goods
what is division of labour
dividing work and workers up to specialise on a particular job/task
what does specialisation mean
when a worker concentrates on a particular task
what does flow production allow
division of labour
if workers are specialised at a task, why is this good
it makes them more effective at their job