Operations Management Flashcards
What is efficiency for businesses
Getting the most output for the least input and raw materials.
Why is good efficiency key
The more output you can get without having to increase input, the more profit you will make
What is job production
It’s a meth d of production that manufactures each product individually. This usually means each product is unique and often tailored for the customer and their specification such as a bespoke suit.
Properties of in production and examples
Usually require a highly skilled workforce
Take a long time to make and are expensive. However, they’re normally high quality
Ships, bridges, buildings, made to measure clothes
What is batch production
A batch of identical products is made instead of just one like in job. They are usually made using equipment that can be used to make a different type of batch
Properties of batch
Relatively skilled workforce
Moderately expensive
Usually uses same equipment for different products
Makes 12-1000 usually
Example is batches of bakery goods from baker or a furniture shop making 100 of the same chairs before moving onto a new design
How do computers help workplaces
More can be done in less time as the computer can be made to do complex tasks
Word processing means professional looking documents can be quickly made and shared with others
Invoices and accounting records can be easily managed using spreadsheets, rather than piles of real sheets
How have computers helped in manufacturing
CAD software can be used to quickly make new designs and are more accurate than hand drawings
Robots can be used to make things and do repetitive tasks better than a person would be able to. They also don’t need to be paid
How have computers helped in shops
Barcodes have made adding up customers bills easy, don’t need to be done by hand.
Stock can be automatically ordered if the shops stock runs low
Customers no longer have to pay in cash, credit cards can be used
Why is quality so important in all parts of a business
No matter how high quality everything in a business is, if something is bad such as spelling mistakes in their promotion, customers won’t want to buy from them
What is quality assurance
When a business adds a guarantee to the product to make customers feel more confident that they are buying a quality product such as a 3yr warranty
What should good customer service have
Accurate product information
Product should be reliable
Customer service should deal with customers questions and problems quickly and well
Order requirements should be fulfilled properly
Product should be delivered when promised
There should still be customer support after the customer has bought the product such as for warranties
What are the benefits of good customer service to businesses
Good customer service leads to good customer satisfaction so they are likely to buy from them again
Happy customers are likely to recommend the business and spread it through word of mouth
If customers are unhappy, business may get a bad reputation and lose customers which may lead to falling sales
What does fit for purpose mean
The product has to be able to do the job it was designed for
Why must a product match its description and what should be in it
It’s illegal to give a false description of a product
Product should have size dimensions
It’s illegal to claim a product has been endorsed or approved by someone if it hasn’t
