business Flashcards
2.3 making operative decisions
what is business operations?
part of the business that provides customers with goods or services they ordered.
what are goods within a business?
products that are produced in a factory they are classed as operations
what are services within a business?
actions that cant be stored
what are the different types of production processes?
job production, flow productions, batch production
what is job production?
when products are made at one time to meet customer preferences
what is an advantage of job production?
charge higher prices for bespoke/one of a kind (leads to higher profit margin)
what is a disadvantage of job production?
highly skilled staff are needed which increases costs as they need higher wage
what is flow production?
continuously making identical products
what is a disadvantage of flow production?
expensive to buy all the machinery needed
what is batch production?
making a set quantity of identical products
what is a advantage of batch production?
can make different sizes/flavours and makes lots
what is a disadvantage of batch production?
what is an advantage of flow production?
can make for larger quantities
which is more efficient
