Operations management [9] *G10

Question 1

Production management refers to

Answer 1

Management of processes that create values that satisfies the needs/wants of customers

Question 2

Creating value=

Answer 2

When goods are produced

Question 3

Production refers to two things

Answer 3

• Goods being produced in factories
• Operations that create services that satisfies customers

Question 4

Example of goods

Answer 4

Anything eg tomato sauce

Question 5

Example of a service

Answer 5

Anything eg banks, insurance

Question 6

What’s tangible and intangible goods

Answer 6

Physical and non physical assets

Question 7

Example of á tangible good

Answer 7

Equipment, property, etc

Question 8

Example of an intangible service

Answer 8

Trademarks, copyright

Question 9

Raw material

Answer 9

Resources used for production

Question 10

Internal supply chain includes

Answer 10

Purchasing function, production function, marketing function

Question 11

How to know if a resource is valuable

Answer 11

• difficult to imitate
  *durable
  *scarce

Question 12

Functions of production

Answer 12

Land, capital, entrepreneurship, human capital, info tech

Question 13

Capital

Answer 13

Money used when goods/services are produced

Question 14

Entrepreneurship

Answer 14

Opportunities identified to combine resources to produce goods/ services (use other fop)

Question 15

Human capital

Answer 15

Labour, skills and knowledge used to produce

Question 16

Information technology

Answer 16

Use of tech to satisfy customer needs eg. Machines, online shopping, online banking

Question 17

Tasks of production function

Answer 17

Input, transformation, output and acceptance

Question 18

Input

Answer 18

Business needs :
RAW MATERIAL
CAPITAL
INFORMATION
QUALITY CONTROL
in place before the business produces goods/services that satisfies customers
(RIQC)

Question 19

Input- communication between what managers are important

Answer 19

Financial
Purchasing
Human capital
Operations

Question 20

Transformation

Answer 20

Manager ensures the correct
FACILITIES
LABOUR
CAPITAL
are in place to transform inputs into goods/services
(CLF)

Question 21

Output

Answer 21

Goods/services meet the quality criteria

Question 22

Acceptance

Answer 22

Goods/services are of quality standards and are sold to customers through marketing

Question 23

3 specific tasks to make sure business runs smoothly

Answer 23

Long term
Medium term
Short term

Question 24

Long term tasks are

Answer 24

Research and discussions that take place before important decisions are made (can’t be changed quickly)

Question 25

Examples of these long term decisions

Answer 25

*Location
*Factory layout
*Production system
*Product specifications
*Obtaining required equipment
(PPLOF)

Question 26

Location

Answer 26

Affects profitability of business (study the factors in the book I can’t type that much 🤪)

Question 27

Factory layout

Answer 27

Physical arrangements of equipment used in the production process

Question 28

Objective of á factory layout

Answer 28

Ensure a smooth flow of
WORK
MATERIALS
LABOUR
INFORMATION
during the production process

Question 29

An effective factory layout promotes

Answer 29

*productivity
*safety
*quality of goods/services

Question 30

Study criteria for factory layout in book

Answer 30

Please

Question 31

Advantages of proper factory layout from employees point of view

Answer 31

*less physical movement = more productive
*higher productivity = higher wages
*á logical flow = less accidents

Question 32

Advantages of proper factory layout from employers point of view

Answer 32

*smooth production = more goods produced = more sales
*less material wasted = lower production costs = higher profit
*easier since there’s flow

Question 33

Production systems

Answer 33

Process of how inputs are processed into outputs

Question 34

Standardized meaning

Answer 34

Same design and materials used

Question 35

Mass production

Answer 35

*When standardized products are produced in large quantities
*There’s a limited variety of goods
*large quantities of the same product in short time

Question 36

Mass production could be inflexible because

Answer 36

*it’s difficult to cope with change in demand
*expensive delays occur when á machine breaks