Making Operational Decisions 🎢 Flashcards
What is quality control?
Seen as the last part of chain production , a quality controller chew is for faulty products after it’s been made
What is quality assurance?
Quality of a product checked at every stage as a result , there should be zero defects
What are the benefits of good quality?
Allows premium prices to be charged
Builds strong brand image
Links to customer needs - gain competitiveness
Can differentiate products
What is the benefit of quality assurance?
Quality is checked at each stage so there is no wastage of products at the end
What are the four factors of a business influence in the use of technology?
Flexibility
productivity
cost
quality
What is Productivity?
The amount of output of each worker and a measure of how much a worker produces over a period of time
How can productivity be achieved?
Lowering cost of production while maintaining output this leads to an increased competitiveness
What are the negatives of using technology? 3)
Your product can quickly become obsolete
it requires employees trying to use tech - Extra funds for training
and it involves a costly initial investment
What are the positives of tech? 3)
Speeds up production process
keeps business in touch with customers and lower production costs
What is the maximum stock level
the most stock that a business can hold
What is the reorder level?
Difference between when stock increases and the most time taken for it to arrive
What is buffer stock?
The lowest amount of stock of this is going to hold as a safety net if there’s any surges in demand
What is just-in-time?
When a business orders new stock when all the stock is used up
What do you need to use just in time with your suppliers?
I need a good relationship of reliability and goodwill
What is the positives of holding lots of stock in your business? 4)
Any unpredicted surgeries can be met
damaged goods can be replaced
business can get deals buying in bulk
Limits the risks of supply and customer demand
What is the benefits of holding little to no stock
Less money needed for storage
Employees can focus on all the tasks other than managing stock
Reduces cost of production
Less chance of it being damaged

What makes a good supplier 
Good price
flexible deliveries
high-quality products
What is the impact of a bad supplier?
Suppliers may not be as flexible as you need late deliveries can hold production the lack of products lead to customers to be dissatisfied with your business and go to competitors
Same for low quality
What’s the impact of a good supplier
Good supply will supply you with high-quality raw materials on time this will lead to production being efficient leaning to satisfied customers
Why is customer service important?
Increase cells with repeating purchase build loyal customer base satisfied customers good image and positive reputation
What can Poor customer service lead to
Poor brand image and reputation
falling sales poor
customer satisfaction
low customer loyalty
Tell me the sales process
Customer interested
Speed and efficiency of service
customer engagement
post sales services
customer loyalty
What can affect the factors of the sales processes? 3)
This be done efficiency
response to customer feedback
product knowledge of staff
