Business Operations Flashcards

1
Q

Operations management

A

The department responsible for the transformation of inputs into outputs

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2
Q

Job production

A

Where one off tailor made products are made from start to finish

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3
Q

Flow production

A

Where production occurs continuously on an assembly line

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4
Q

Lean production

A

An approach to production developed by the Japanese to eliminate waste

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5
Q

Just in time

A

Production happens with minimum stock levels; tasks are completed Just In Time for the next task

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6
Q

Division of labour

A

Breaking a job down into small, repetitive tasks that can be done quickly by specialised workers

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7
Q

Benefits of job production

A
  • Changes to customer requirements can easily be handled
  • Each product is unqiue
  • Often associated with higher quality
  • Labour intensive production method
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8
Q

Benefits of flow production

A
  • Production can be continuous
  • Consistent quality goods can be produced
  • High amounts of output can be produced
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9
Q

Drawbacks of flow production

A
  • Set up costs are high

* Motivation levels amongst employees can be low

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10
Q

Benefits of lean production

A
  • Employees are used more efficiently
  • Costs are reduced
  • The number of defective products is reduced
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11
Q

Disadvantages of lean production

A
  • Lots of stock which wastes space
  • Staff bored
  • Inflexible
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12
Q

Quality management

A

Controlling activities to ensure products and services meet the specifications

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13
Q

Quality control

A

Checking/inspecting quality at the end of the production process to detect faults

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14
Q

Quality assurance

A

Self checking quality at each stage of the production process to prevent defects

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15
Q

Quality standard

A

Setting a minimum acceptable standard. Often a legal requirement.

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16
Q

Quality

A

A product that meets customer requirements

17
Q

Total Quality Management

A

An approach to quality where everyone is focused on placing quality at the heart of all decisions and actions.
• Type of lean production
• Ensure 100% quality
• Zero defects

18
Q

Why is quality important?

A
  • USP, differentiate from competitors
  • Charge high price (premium pricing)
  • Reduce costs - don’t have to refund
  • Aids operation - increase efficiency
19
Q

Benefits of quality control

A
  • Inspectors are specialised

* Staff can carry on with roles

20
Q

Drawbacks of quality control

A
  • Expensive
  • Lots of waste
  • Don’t check all stages
21
Q

Benefits of quality assurance

A
  • Empower staff
  • Don’t need to employ extra staff
  • Reduce waste
22
Q

Drawbacks of quality assurance

A
  • Only work if staff buy in to it

* Takes time to implement

23
Q

Why do large businesses have quality problems?

A

All diseconomies of scale
• Multinational - harder to communicate
• Often made overseas - lower standards / lower skills
• Making products - (large scale / decrease costs) cause errors

24
Q

Costs and benefits of managing quality

A

Costs:
• Staff training costs
• Inspection costs are high, when using quality control

Benefits:
• Additional sales are made
• Product recalls are reduced