Operations Management Flashcards
Innovation
Business implements new processes, ideas and services
Economies of scale
Enables business to achieve a reduction in unit costs as output rises
Diseconomies of scale
Business expands in long run and cost of production increases
Capacity utilisation
Manufacturing and production capabilities that are being utilised by a business at any time
Capacity management
Managing the available capacity to ensure resources are used optimally
Stock control
Amount of stock is maintained to meet customer demand
JIT Just in time
Inventory management method in which goods are received from suppliers only as they are needed
Kanban
Control system to track production and order new shipment of parts
Supply chain management
Integration of the procurement of the supplies, production
Reshoring
Business returns to production or operations to host country
Offshoring
Relocation of business activities from the home country
Outsourcing
Business practice of hiring a party outside a company to perform services
CPA Critical path analysis
Scheduling a set of project activities
Total float
Amount of time activity can be delayed from its start time
Free float
Can be delayed without causing delay to the next activity
