aos 3 operations management Flashcards
operations management
coordinating and organising the activities involved in producing the goods or services that a business sells to customers
when operations management is affective it results in … listed
reduces time
fewer resources
high quality
sustainable/ethical
operations manager
oversees the transformation of inputs into outputs aiming to maximise efficiency by lowering costs and increasing productivity
key elements of an operations system .. listed
inputs
processes
outputs
operations system
is the transformation of inputs into a final output (can be a good or service)
elements of operation management .. listed
inputs
processes
outputs
inputs
resources used by a business to produce goods and services
inputs can include .. listed
labour resources
raw materials
equipment&machinery
time
electricity
info
categories of inputs (and definitions) .. listed
- raw materials: directly from the earth
- capital equipment: equipment purchased by business
- labour: work undertaken by employees
- info from variety of sources: legal sources (internet etc)
- time
- money
processes/transformation
are the actions performed by a business to transform inputs into outputs
processes can include.. listed
mixing
designing
baking
computing
assembling
constructing
washing
cutting
(can be anything depends on the case study)
outputs
the final goods/services produced as a result of a business’s operations system which’er delivered or provided to customers
characteristics of operation management in manufacturing and service business: listed
- tangible: can be physically touched
- intangible: can’t be touched
manufacturing business characteristics … listed
- tangible
- can be touched and stored
- no set time
- highly automated
- minimal level of customer contact
- quality and productivity is easy to measure
service business characteristics .. listed
- intangible
- unable to be touched or stored
- may require customer presence
- high level of customer contact
- quality and productivity hard to measure
similarities between manufacturing and service business .. listed
- both aim to optimise their operations to produce high quality outputs at a low cost of production
- both deal with suppliers during the process of managing operations
- both can utilise forms of tech in their operations systems
- both aim to optimise efficiency and effectiveness in their operations
efficiency
how productively a business uses its resources when producing a good or service
efficiency characteristics .. listed
- maximise productivity to improve efficiency
- productivity=producing maximum quantity at minimum cost
- minimises production costs, levels of waste and time taken for production
effectiveness
the extent to which a business achieves its stated objectives
effectiveness characteristics .. listed
- sastisfied customers are more likely to purchase products in future
- increases sales and profits
- improving effectiveness
technological development strengths .. listed
- increasing output or production-can decrease time and cost of labour
- enhances quality of product-reduces amount of human errors
- reduces waste
- can enhance reputation
tech development weaknesses .. listed
- cost=expensive, often out of date as soon as its been purchased
- training=costly
- repairs= regular
- redundancies=loss of jobs due to tech
automation .. listed
replacing human effort with:
- machinery
- tech
- mechanics
- robotics
- computer advancements
automated production lines
series of machines and workstations are arranged in sequence to perform tasks automatically with little to no employment involvement
