Booklet 7 - production Flashcards
production: job, flow, batch, quality control and assurance, waste management, supply chain, stock control
What is production?
Production is the processes involved in the manufacture of a product.
First type of production
Job: hand made to meet the customers individual needs as each item they make is different.
ADV - well motivated, varied work.
DISA - expensive, high quality means high wage.
Second type of production
Batch: used to meet group orders, for example machine could make 200 size 12 then 200 size 10.
ADV- cost per unit is lower, different products made.
DISA - increase costs, specialist machinery, repetitive work.
Third type of production
Flow: used to mass produce everyday standardised items. Economies of scale leads to lower costs and prices.
ADV - efficient machinery, complex products produced
DISA - expensive, monotonous, difficult to adapt.
What is lean and just-in-time production?
Lean production is the range of waste saving measures.
Just-in-time production is when a business keeps their stock to a minimum, this process saves storage costs and avoids having assets tied up in stocks.
What is wastage?
Occurs when products cannot be sold because they are of poor quality, or damaged, or stock is out of date.
What is quality? Quality control? Quality assurance?
Quality is defined as ‘consistently providing what the customer wants’.
Quality control is inspecting a sample of goods produced at the end of the production process to ensure that specifications have been met.
Quality assurance is a guarantee given by producers to consumers that certain standards have been met throughout the production process.
Advantages and disadvantages of quality control
adv: carried out by specialist, reduces faults in products, problem areas identified.
disadv: high waste levels, requires a specialist, may cause de-motivation.
Advantages and disadvantages of quality assurance
adv: motivated staff, focus on quality throughout the production, better reputation, less waste
disadv: relies on commitment, training must occur, production may be paused
What is TQM - Total Quality Management
Creates quality through continuous improvement, development of systems and products and by creating an organisational culture of quality.
What is the importance of quality to a business?
-satisfy and increase customer expectations
-increasing sales
-reducing cost and waste
What does bad quality lead to?
-dissatisfied customers
-bad reputation
-increased costs
-storage costs
-legal action (if it’s that bad)
Supply chain and procurement
Supply chain is the various processes involved in producing a product and distributing it to suppliers.
Procurement involves selecting suppliers, establishing the terms of payment and negotiating the contract.
What are ‘logistics’?
involves the management of the movement of goods from where they are to where they are needed: often between the manufacturer and the consumer.