Management Of Operations Flashcards
Activities The Operations Department Carries Out
- they make products
- they help satisfy customers by making products that they want
- they work with suppliers
- they manage levels of stock
Factors To Take Into Account When Choosing A Supplier
- cost of raw materials
- quality of raw materials
- delivery time
- quantity of raw materials
- location of supplier
- reputation
- storage
Inventory Management
- store raw materials from suppliers
- store products being made
- store finished products
Inventory Control
- maximum stock level
- minimum stock level
- re-order level
- re-order quantity
- delivery time
Describe The Methods Of Production
Job Production
- the product is made to the customers own requirements i.e. wedding cakes
Batch Production
- small groups of identical products made at one time i.e. bakery
Flow Production
- when parts are added to the product as it moves along i.e. electrical items
Advantages And Disadvantages Of Job Production
ADVANTAGES
- the customers get what they want
- high prices charged
- designs are modified
DISADVANTAGES
- expensive specialist equipment
- can’t buy raw materials in bulk
- can take a long time
Advantages And Disadvantages Of Batch Production
ADVANTAGES
- batches can be changed to suit requirements
- raw materials bought in bulk
- no need for skill
DISADVANTAGES
- mistakes ruin batches
- the cost of each item may be high
Advantages And Disadvantages Of Flow Production
ADVANTAGES
- large amounts of identical products can be produced
- raw materials can be bought in bulk
- lots of machinery so no need for breaks
DISADVANTAGES
- individual requirements can’t be met
- if there’s a fault the whole production stops
- large demand
Labour Intensive Advantages And Disadvantages
- employees can use initiative
- labour is readily available
- no expensive equipment
- unique products can be made
- expensive
- require specialist skills
- quality of work can vary
Capital Intensive Advantages And Disadvantages
- can work 24/7
- standardised quality
- fewer employees
- expensive
- individual requirements can’t be met
- breakdowns can be expensive
State The Meaning Of The Term Mechanisation
when both humans and machines are used
Advantages Of High Quality Products
- customer loyalty
- good reputation
- higher sales
- more profit
- price of product can increase
- wastage is limited
Methods Of Ensuring Quality
- high quality raw materials
- employ skilled staff
- ensure equipment is regularly checked
- quality control
- quality assurance
- quality management
Quality Control
products inspected at the end of the production process, any products not meeting the standard are discarded or reworked
ADVANTAGES
-only some employees need to be trained as inspectors
-reduced the chance of poor quality items
DISADVANTAGES
-faults only found at the end of production
-high wastage costs
-rework costs time and money
Quality Management
aims to have zero deficits. Works by each member of production treats the person before and after them as a customer. If they are unhappy with what they receive they can return the item
ADVANTAGES
-aims to get it right first time
-zero tolerance or errors
-better than quality control
-encourages teamwork
DISADVANTAGES
-everyone must agree to the process
-more expensive to implement
