Operations Flashcards
what is the definition of batch production?
a method of production where one type of product is made and then production is switched to make a different product
what is the definition of flow production?
production of one product that takes place continuously using a production assembly line
what is the definition of job production?
a method of production where products are made individually
what is the definition of production processes?
the three methods or processes of production
what are the advantages of job production?
likely to be high quality, individual
can charge a high price for a high profit
what are the disadvantages of job production?
high cost method
production may be slow
what are the advantages of batch production?
can be varied to meet needs of different customers
cheaper than job production
what are the disadvantages of batch production?
machines need re-setting between different batches (money)
tasks are repetitive and boring for workers
what are the advantages of flow production?
large quantities are produced
automation can reduce costs
what are the disadvantages of flow production?
may not be of high quality
need to store large stock
tasks may be repetitive for workers
what is the definition of automation?
a production process involving machinery that is controlled by a person
what is the definition of robotics?
the use of robots in the production process
what are the three uses of technology in production?
robotics
computers
automation
what are three advantages of using technology in production?
machines can replace workers (reducing costs)
can operate 24/7
waste is reduced
what are three disadvantages of using technology in production?
may need to recruit IT staff
machines can break down (disrupting production)
new technology may be expensive
what is the definition of quality?
refers to a production being fit for purpose
what is the definition of recalls?
when a fault occurs with a product and the business asks for the product to be brought back so it can be repaired or replaced
what is the definition of returns?
goods which customers take back to the shop because they are unsuitable or faulty
what are the benefits to providing quality goods and services?
waste is reduced, gain a good reputation
what is the definition of quality assurance?
an approach that involves the whole business focusing on quality with the aim of preventing quality problems from arising
what is the definition of quality control?
a system for inspecting the quality of the goods or services produced and ensuring they are of the required standard
what are three advantages of quality control?
stops poor quality goods being sold
output is not affected
improve the reputation
what are three disadvantages of quality control?
it does not prevent waste
inspection can be costly
does not encourage workers to be responsible for quality
what are the advantages to quality assurance?
it should reduce waste and cost, all workers are responsible for the quality
improve the reputation
what are the disadvantages to quality assurance?
workers may be stressed by the responsibility of having to check the quality of their own work
what is the definition of face to face?
involves direct contact between buyer and seller
what is the definition of telesales?
sales completed over the phone
what are the advantages of face to face selling?
can increase sales, useful where customers like advice
what are the disadvantages of face to face selling?
may not be convenient to customers, if the customer bargains with the seller profits may be reduced
what are the advantages of telesales?
can increase sales, may cost less than selling from a shop
what are the disadvantages of telesales?
costs involved such as a warehouse to store goods and payments to telesales workers
sellers may ‘cold call’ which can be a nuisance to customers
what is the definition of e-commerce?
the bringing together of buying and selling electronically
what are the 5 influences of commerce on business?
levels of employment, new skills, location, business opportunities, delivery options
what are the 5 influences of commerce on business?
levels of employment, new skills, location, business opportunities, delivery options
what are two advantages of e-commerce to businesses?
it is possible to sell 24/7
markets have increased as businesses can now sell more easily around the world
what are two disadvantages of e-commerce to businesses?
competition has increased
delivery systems need to be organised
what are two advantages of e-commerce to customers?
can buy 24/7
can compare prices easier
what are two disadvantages of e-commerce to customers?
impersonal, can’t ask questions
goods may not be what they are described to be
what is the definition of as described?
means that good must be as the business has described them
what is the definition of customer law?
the area of law which protects the customers of a bsuiness
what is the definition of fit for purpose?
means that a good or service must do what it is meant to do
what is the definition of satisfactory quality of goods?
means that goods should reflect the price charged for them
what is the definition of business reputation?
refers to what customers say and fell about a business
what is the definition of location?
refers to the place at which a business is sited
what is the definition of proximity?
means ‘nearest to’
how does cost influence a business location?
locating in an area where cost is low enables a business to save on the cost of renting
how does proximity to the market influence a business location?
can be located near their customers, reduces the cost of transport
how does proximity to labour influence a business location?
whether they need to supply skilled workers or non skilled workers
how does proximity to materials influence a business location?
locate near to a source of raw materials to save on transport costs
how does the government influence a business location?
may give a business grants towards start up costs or may reduce corporation tax for those businesses locating to an area of high unemployment
what is the definition of procurement?
the management of purchasing within a business
what are the four stages of procurement?
identifying, choosing suppliers, ordering, receiving
what influences identifying goods and services in procurement?
which season it is for, changes in fashion/technology
what influences choosing suppliers in procurement?
quality, reputation, reliability
what influences ordering goods and services in procurement?
completing an order form stating what is wanted
what influences receiving deliveries in procurement?
arranging for workers to receive the goods and having an area for the to be stored
what is the definition of logistics?
the process of organising the transport of goods from the seller to the buyer
what is the definition of supply chain?
the chain of businesses involved in the production of a product and its delivery to the user
what are the five logistical issues?
time, reliability, length of supply chain, costs, customer service
how is time a logistical issue?
suppliers must be able to deliver the goods on time, if not it could affect the business sales and revenue
how is reliability a logistical issue?
supplier must be able to supply the quantity and quality of the goods needed, could delay the businesses production, loosing sales
how is length of supply chain a logistical issue?
it has an increased list of problems occurring along the chain
how is costs a logistical issue?
customer will want deliver costs to be as low as possible, may not get a big enough profit to keep the business running
how is customer service a logistical issue?
the business may lose customers if businesses that buy from it are not happy with the service they receive
