DEFINITIONS

Question 1

Speed of response

Answer 1

time taken for a customer requirement to be fulfilled

Question 2

Flexibility

Answer 2

ability of an organisation to change its operations in some way

Question 3

Dependability

Answer 3

measures whether a business is on time in providing fro its customers needs

Question 4

Environmental

Answer 4

aims set by a business to show commitment to helping the environment

Question 5

Added value

Answer 5

is sales revenue-the cost of bought in materials

Question 6

Labour productivity

Answer 6

the output per worker in a given time period

Question 7

Unit cost

Answer 7

the cost of producing one unit of output

Question 8

Capacity

Answer 8

the maximum total level of output that a business can produce in a given period of time

Question 9

Capacity utilisation

Answer 9

the percentage of a firms total possible production level that is being used.

Question 10

Labour productivity

Answer 10

measures the efficiency of labour

Question 11

Efficiency

Answer 11

is the amount of output per unit of,factor input

Question 12

Economies of scale

Answer 12

are advantages that an organisation gains due to an increase in size and output

Question 13

Operational decisions

Answer 13

are day to day decisions made by managers that are simple and routine

Question 14

Lean production

Answer 14

is ab approach to management that focuses on cutting out waste, whilst ensuring quality. this approach can be applied to all aspects of a business- from design, through production to distribution.

Question 15

Just in time management

Answer 15

is a methodology aimed primarily at reducing times within production systems as well as response times from supplies and to customers

Question 16

Quality circles

Answer 16

is a group of workers who do the same or similar work, who meet regularly to identify, analyse and solve work related problems

Question 17

Total quality management

Answer 17

continual process of eliminating errors in manufacturing

Question 18

Kaizen

Answer 18

is an approach to creating continuous improvement based on the idea that small ongoing positive changes can reap major improvements

Question 19

Cell production

Answer 19

is a form of team working and helps ensure worker commitment, as each cell is responsible for a complete unit of work