Operations Flashcards

1
Q

What is capital intensive

A

Products made using mainly machinery and equipment

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2
Q

What is it called when products are made using a mixture of both humans and machines

A

Mechanisation

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3
Q

What is it called when products are made using only machinery

A

Automation

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4
Q

Advantages of capital intensive

A
  • can work 24/7
  • product will be of consistent quality
  • unskilled employees required (cheaper labour)
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5
Q

Disadvantages of capital intensive

A
  • expensive to purchase
  • can’t meet individual customer requirements
  • breakdowns cause production to stop
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