business operations Flashcards
what are the two main types of production
job production and flow production
what is job production
making one unique item at a time
when is job production used
when a business manufactures individual products.
unique design based on the customers specification
advantage of job production
business can charge a higher price
products are of higher quality
disadvantage of job production
expensive to produce as each product is different
employees need to be skilled and may need training
what is flow production
making lots of things continuously
when is flow production used
all products are identical and the aim is to produce as many as possible along a production line
advantage of flow production
can produce large volumes of products
producing in large quantities reduces the cost per min
disadvantage of flow production
high initial costs of machinery
lack of flexibility all products need to be identical
employees may become bored or demotivated due to limited range of tasks
quality
If a product or service is of good quality, it means that it is of a high standard.
quality includes how well the product is made and if the product lasts and works well
for a service that needs to be good quality including good customer service
benefits of maintaining quality
HIGHER PRICE-customers will pay more for better quality products(value for money)
INCREASED SALES- when customers are pleased with the quality they are likely to repeat purchases.
BETTER REPUTATION- higher quality products lead to a better image.
costs of maintaining quality
STAFF TRAINING- staff need to be doing there job properly
INSPECTION- products need to be inspected to check the quality is good enough
failing to maintain quality
DISRUPTED SERVICES- if quality standards are not maintained it may disrupt the services that a business can offer
PRODUCT RECALLS- products need to be safe for the customer to use
customer service
good customer service focuses on giving customers a good experience throughout the sales process.
what is the sales process
FINDING the potential new customer
APPROACHING potential new customer
INVESTIGATING their needs
PRESENTING products on offer
CLOSING the sale
post sales service
